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Page 60 of 101

IPC COMMUNITY 61 SPRING 2023 The European Chips Act must be seen as a first step in building and re-building Europe's electronics manufacturing base. With a Chips Act proposed budget under strain and already inadequate for the purpose, the EU is also conscious of the more investment-friendly climate for manufacturers supported in other regions which have less stringent conditions. Those regions have enabled state aid and are not hit by skyrocketing energy prices from the war in Ukraine. For IPC, the first—albeit difficult—step of getting an extended legal framework within the European Chips Act has been taken and continues in the coming months as we reach the final stages in institutional negotiations. The next step will concern the implemen- tation of the European Chips Act. The legal framework will allow the EU member states to act. Continued voices will be needed to ensure that these actions build a resilient, future-facing European electronics manufac- turing ecosystem.

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