EU Chips Act 2.0 Push Targets 20% Global Chip Share by 2030

The European Union is preparing a second semiconductor push—dubbed Chips Act 2.0—after the European Court of Auditors found the bloc’s 20% global chip value chain share target by 2030 is increasingly remote. The move follows three years of the original Chips Act, which entered into force in 2023.

The original EU Chips Act, adopted in 2023, aimed to lift Europe’s share of the global semiconductor value chain from roughly 9% to 20% by 2030, backed by €43 billion in public and private investment. However, the European Court of Auditors’ 2025 assessment concluded that the target is slipping out of reach, citing slow fab construction, fragmented national subsidies, and limited advanced-node capacity. The bloc remains heavily dependent on Asian foundries for leading-edge chips, while US and Asian rivals have accelerated their own incentive programs.

Industry analysts expect Chips Act 2.0 to pivot from broad fab subsidies toward advanced packaging, IC substrates, and mature-node chip resilience—areas where Europe already has industrial strengths. For PCB and PCBA buyers, any increase in European chip production and assembly capacity could reduce reliance on Asian supply chains and shorten lead times for automotive, industrial, and AI-related electronics. The European Commission has not released full details, but early signals point to more direct funding for packaging and test, plus stricter milestones for existing fab projects. That shift would directly benefit the multilayer, HDI, and IC substrate segments that feed advanced packages.