- The report said that in recent months, the company has been seeking 8 billion euros ($9.5 billion) in public subsidies to build a semiconductor manufacturing site in Europe
- Economy Minister Hubert Aiwanger said that The possible location of a large international semiconductor manufacturer in Bavaria is an outstanding opportunity
As per a report by Reuters, Germany’s southern state of Bavaria is in talks with Intel to build a European chip factory in a bid to counter supply bottlenecks that have hampered production in the automotive sector, the local economy minister said. The report said that in recent months, the company has been seeking 8 billion euros ($9.5 billion) in public subsidies to build a semiconductor manufacturing site in Europe.
Outstanding opportunity
Economy Minister Hubert Aiwanger said that The possible location of a large international semiconductor manufacturer in Bavaria is an outstanding opportunity. Bavaria has suggested a disused air base in Penzing-Landsberg, west of Munich as a possible location for the factory, Aiwanger said.
A shortage of semiconductors is causing issues for Europe’s car manufacturers and threatens to de-rail Germany’s economic recovery from the coronavirus pandemic. The European Union is considering creating a semiconductor alliance including STMicroelectronics, NXP, Infineon and ASML to cut dependence on foreign chipmakers during a global supply chain crunch.
