India, Dec. 4 -- The next European Chips Act must evolve from an emergency response into a strategic industrial policy that makes Europe competitive, indispensable and resilient within the global semiconductor ecosystem. It should be guided by realistic, market-driven objectives and strengthen the entire semiconductor value chain.

Geopolitical tensions over semiconductor technologies and critical inputs have increased and threats of supply disruptions persist, as the Nexperia case illustrates. Projects under the existing Chips Act have advanced unevenly, funding is still fragmented and business conditions in Europe remain challenging for critical parts of the semiconductor value chain. Other regions - especially the US, Japan, South Kore...