- On Friday, chip maker ST Microelectronics NV STM And Global Foundries Inc GFS received EU approval for construction a new chip factory with French state aid in France.
- The companies announced their plan in July 2022.
- The new facility will be adjacent to STM’s existing facility in Crolles and will reach full capacity by 2026, with annual production of up to 620,000 18nm wafers, Reuters reports.
- “The aid will take the form of direct grants to ST and GF to support their investments in the project, worth a total of €7.4 billion,” the European Commission said.
- The European Commission aims to produce 20% of the world’s chips by 2030.
- The European Union executive earlier proposed the €43 billion ($45.3 billion) Chip Law to allow governments to subsidize the production of chips.
- countries highlighted worldwide build their house The presence of semiconductors after the 2020 pandemic, which first broke out in China, shattered global supply chains and led to a chip crisis for automobiles and electronic devices.
- Price promotions: GFS shares closed down 0.41% at $58.01 on Thursday. STM shares traded 2.26% lower at $41.87 premarket on the most recent check Friday.
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