State aid for the semiconductor industry in Europe is "essential, but not enough", SEMI Europe states in a document submitted to the European Commission on November 2. In the letter, the organization demands not only subsidies for R&D but for the entire semiconductor value chain. "As long as regions such as the United States and Asia continue to provide significant subsidies and incentives for semiconductor manufacturing, Europe must provide comparable incentives", the organization states.

In this context, SEMI Europe also says that not enough that the European Commission monitors subsidies and similar trade distortions by third countries. Instead, the chip lobbyists urge the Commission to take action against such alleged rule violators.

In addition, the organization calls for different structures in Europe's funding scheme. The current rules lead to undesired situations — for instance it is possible for the Belgian research center IMEC to cooperate with Asian companies such as Panasonic and Samsung but not with European ones. For this reason, SEMI Europe wants cross-border funding to be legalized. "It is the most adequate tool to make private investment more attractive," the organization concluded.

As recently as a month ago, the European Commission had acknowledged in a paper that nanotechnology, electronics and photonics are "key enabling technologies" for the European economy. While the EC paper had stirred significant discussions in the industry, it has in general triggered a positive echo.

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