The European Commission has cleared \u20ac288m in German State aid for two new semiconductor supply chain projects aimed at strengthening Europe\u2019s chip manufacturing resilience.<\/p>\n
The funding will support new production facilities by Carl Zeiss and Zadient Materials Europe GmbH in Germany.<\/p>\n
The largest share, \u20ac222m, will go to Zeiss to expand semiconductor equipment manufacturing in Oberkochen, Baden-W\u00fcrttemberg.<\/p>\n
A further \u20ac66m will support Zadient\u2019s planned ultra-pure silicon carbide (SiC) facility in Bitterfeld, Saxony-Anhalt. Both investments form part of Europe\u2019s wider effort to reduce dependence on foreign suppliers in the semiconductor supply chain.<\/p>\n
The Commission said the projects align with the goals of the European Commission under the European Chips Act<\/a> and the EU\u2019s 2024-2029 political strategy<\/a>.<\/p>\n Officials expect the projects to improve supply security, increase specialist manufacturing capacity and strengthen Europe\u2019s long-term competitiveness in advanced chip production.<\/p>\n Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition, explained: \u201cChipmaking requires highly sophisticated production equipment and materials with special characteristics such as high purity.<\/p>\n \u201cThe German measures approved strengthen the EU\u2019s position in the semiconductor value chain and enable innovation to underpin Europe\u2019s technological leadership and resilience in this field.\u201d<\/p>\n Zeiss project targets next-generation EUV technology<\/p>\n Germany notified Brussels of Zeiss\u2019s \u201cHNA@SCALE\u201d project, which focuses on the industrialisation of next-generation extreme ultraviolet (EUV) optical columns.<\/p>\n These systems are essential components in EUV lithography machines used to manufacture cutting-edge semiconductors.<\/p>\n The technology is closely tied to the production systems developed by ASML, whose EUV machines are considered critical for producing advanced chips used in artificial intelligence, high-performance computing<\/a> and autonomous driving systems<\/a>.<\/p>\n By supporting domestic production capabilities within the semiconductor supply chain, the EU aims to strengthen strategic control over one of the most complex and valuable industrial ecosystems in the world.<\/p>\n The Commission approved the Zeiss funding in the form of a direct grant.<\/p>\n Zadient facility to produce ultra-pure SiC<\/p>\n The second approved project centres on Zadient\u2019s \u201cSic-Pro\u201d initiative, which will establish what Germany describes as a first-of-its-kind European factory for ultra-pure SiC semiconductor source materials.<\/p>\n