Economy

Germany Reportedly Planning to Allocate $22Bln to Increase Chip Production

MOSCOW (Sputnik) - Germany is planning to allocate 20 billion euros ($22 billion) to develop semiconductor production in the country to secure supplies of critical components amid growing geopolitical tensions, an American news agency reported on Monday, citing sources.
Sputnik
The funds are expected to be allocated from the German Climate and Transformation Fund, which has been set to bolster the decarbonization of the country's economy, and transferred to various German and global firms by 2027, according to the media.
Berlin is also currently mulling the possibility of allocating 180 billion euros for the Climate and Transformation Fund until 2027, the agency added.
In June, German Chancellor Olaf Scholz and Intel CEO Pat Gelsinger announced the signing of a deal on the construction of Intel semiconductor facilities in the German city of Magdeburg. Scholz called Intel's investment in the facilities the biggest direct foreign investment in German history.
Economy
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In September 2022, the German leader said that the production of semiconductors would be established in Europe, including in Germany, as part of the national security strategy, which would help put an end to the bloc's dependence on imports of chips.
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