Chips Act 2.0: Europe's New Semiconductor Strategy - Bundesverband der Deutschen Industrie e.V.

BDI's "Chips Act 2.0" is not a subsidy upgrade—it is Europe's last card before the 2027 capacity vacuum. The real technical ripple is not in advanced logic, where Europe has no credible sub-7nm play. It sits in 200mm power semis, SiC/GaN, and automotive MCUs. Infineon and ST expansion will force upstream epitaxial wafer (Siltronic) and OSAT (Amkor) to reallocate capacity. The subtler shock hits EDA: Synopsys and Cadence face data-sovereignty audits for EU clients—compliance costs that dwarf the subsidies themselves. On compliance, the new framework almost certainly embeds localization thresholds, mirroring the US CHIPS Act "fence" logic. For European fabs with OSAT operations in mainland China, supply-chain redundancy shifts from optional to mandatory, adding 15-25% to opex. The true strategic adversary is not Beijing—it is Seoul and Tokyo. Rapidus, if it delivers 2nm, severs Europe's "outsource advanced nodes" fallback. Samsung's Dresden expansion embeds a Korean player into the local value chain, diluting BDI's exclusivity. 12-24 month call: Europe will not build a "second TSMC," but will lock in 30-40% domestic closure in automotive power and industrial analog. The long-tail effect: by 2027, the global supply chain hardens into "three poles plus fragments." The middle disappears. Companies must pick a side.