Spain announced on Tuesday May 24 that it is planning an investment plan of 12.25 billion euros to become a major producer of semiconductors in Europe by 2027. Spanish Economy Minister Nadia Calvino wants that the peninsula plays an important role in the technology sector », Reports Reuters.
A Spanish plan of 12 billion euros
The European Union wants the Old Continent to account for 20% of world production of semiconductors by 2030, compared to 10% today. In February 2022, the European Commission had already unveiled a 43 billion euro plan to go in this direction. Spain wants to occupy a place of choice in this strategy. The Spanish Prime Minister, Pedro Sanchez, took advantage of the World Economic Forum which closed on May 26 in Davos, Switzerland, to reiterate his country’s ambitions in the sector.
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The country has revealed a €12.25 billion investment plan which, in addition to strengthening the Spanish economy, will reduce Europe’s dependence on foreign suppliers. This five-year plan also aims to revive the Spanish economy following the consequences of the health crisis. 9.3 billion euros will be allocated to the construction of the factories and their operation. Research and development will be funded to the tune of 1.1 billion euros and 1.3 billion euros will be used for the design of the chips.
The Minister of Economy, Nadia Calvino explains that ” the objective is to fully develop the design and production capacity of the Spanish semiconductor and microelectronics industry. This will cover the entire chain, from chip design to manufacture. She adds that the war in Ukraine has underscored the country’s need for autonomy in energy, technology and cybersecurity.
Investments that also come from abroad
The shortage of semiconductors caused by the health crisis has prompted Europe to review its economic strategy in the technology sector. In 2021, the President of the European Commission, Ursula von der Leyen, considered that it is time for the European Union to assert its digital sovereignty. Since then, a draft European regulation on semiconductors has emerged. The objective is to depend less on Asia for supplies, while demand for the component has exploded.
To ensure this sovereignty, an alliance of several European semiconductor manufacturers, such as STMicroelectronics and Soitec, was born in 2021.
The chipmaker, Intel, wants to invest 80 billion euros over ten years to manufacture semiconductors in Europe. The American giant has notably planned to inject 33 billion euros to build a gigafactory in Germany and expand an Irish production site. Intel will also open two research centers in France, which would allow France to become a key player in the sector. With the Spanish initiative, the whole continent is getting to work.