47 Amendments of Alex AGIUS SALIBA related to 2022/0032(COD)
Amendment 147 #
Proposal for a regulation
Recital 4
Recital 4
(4) It is necessary to take measures to build capacity and strengthen the Union’s semiconductor sector in line with Article 173(3) of the Treaty. These measures do not entail the harmonisation of national laws and regulations. In this regard, the Union should reinforce the competitiveness and resilience of the semiconductor technological and industrial base, whilst strengthening the innovation capacity of its semiconductor sector across the Union, reducing dependence on a limited number of third country companies and geographies, and strengthening its capacity to design and produce advanced components. The Chips for Europe Initiative (the ‘Initiative’) should support these aims by bridging the gap between Europe’s advanced research and innovation capabilities and their sustainable industrial exploitation. It should promote capacity building to enable design, production and systems integration in next generation semiconductor technologies, enhance collaboration among key players across the Union, strengthening Europe's semiconductor supply and value chains, serving key industrial sectors and creating new markets.
Amendment 177 #
Proposal for a regulation
Recital 12
Recital 12
(12) In order to achieve its general objective, and address both the supply and demand side challenges of the current semiconductor ecosystem, the Initiative should include five main components. First, to reinforce Europe’s design capacity, the Initiative should support actions to build a virtual platform that is available across the Union. The platform should connect the communities of design houses, SMEs and start-ups, intellectual property and tool suppliers, with research and technology organisations to provide virtual prototype solutions based on co- development of technology. Second, in order to strengthen the security and resilience of supply and reducing the Union’s dependency on third country production, the Initiative should support development and access to pilot lines. The pilot lines should provide for the industry a facility to test, experiment and validate semiconductor technologies and system design concepts at the higher technology readiness levels beyond level 3 but under level 8 while reducing environmental impacts as much as possible. Union investments along Member States investment and with the private sector in pilot lines is necessary to address the existing structural challenge and market failure where such facilities are not available in the Union hindering innovation potential and global competitiveness of the Union. Third, in order to enable investments in alternative technologies, such as quantum technologies, conducive to the development of the semiconductors sector, the Initiative should support actions including on design libraries for quantum chips, pilot lines for building quantum chips and testing and experimentation facilities for quantum components. Fourth, in order to promote the use of the semiconductor technologies, to provide access to design and pilot line facilities, and to address skills gaps across the Union, the Initiative should support establishment of the competence centres on semiconductors in each Member State, by enhancing existing centres or creating new facilities. Access to publicly funded infrastructure, such as pilot and testing facilities, and to the competence network, should be open to a wide range of users and must be granted on a transparent and non-discriminatory basis and on market terms (or cost plus reasonable margin basis) for large undertakings, while SMEs can benefit from preferential access or reduced prices. Such access, including for international research and commercial partners, can lead to broader cross- fertilisation and gains in know-how and excellence, while contributing to cost recovery. Fifth, The Commission should set-up a dedicated semiconductor investment facility support (as part of the investment facilitation activities described collectively as the ‘Chips Fund’) proposing both equity and debt solutions, including a blending facility under the InvestEU Fund established by Regulation (EU) 2021/523 of the European Parliament and Council53 , in close cooperation with the European Investment Bank Group and together with other implementing partners such as national promotional banks and institutions. The ‘Chips Fund’ activities should support the development of a dynamic and resilient semiconductor ecosystem by providing opportunities for increased availability of funds to support the growth of start-ups and SMEs as well as investments across the value chain, including for other companies in the semiconductor value chains. In this context, the European Innovation Council will provide further dedicated support through grants and equity investments to high risk, market creating innovators. _________________ 53 Regulation (EU) 2021/523 of the European Parliament and of the Council of 24 March 2021 establishing the InvestEU Programme and amending Regulation (EU) 2015/1017 (OJ L 107, 26.3.2021, p. 30).
Amendment 190 #
Proposal for a regulation
Recital 16
Recital 16
(16) With a view to accelerating implementation of the actions of the Initiative, it is necessary to provide an option of implementing some of the Initiative actions, in particular on pilot lines, through a new legal instrument, the European Chips Infrastructure Consortium (ECIC). The ECIC should have legal personality. This means that when applying for the actions to be funded by the Initiative, the ECIC itself, and not individual entities forming the ECIC, can be the applicant. The main aim of the ECIC should be to encourage effective and structural collaboration between legal entities, including Research and Technology Organizations. For this reason, the ECIC has to involve the participation of at least three legal entities from three Member States and be operated as a public- private sector consortium for a specific action. The setting up of ECIC should not involve the actual setting up of a new Union body and should not be targeted at one specific action under the Initiative. It should address the gap in the Union’s tool box to combine funding from Member States, the Union budget and private investment for the purposes of implementing actions of the Initiative. In particular, strong synergies can be attained through combined development of the different pilot lines in an ECIC, pooling the Union’s contribution with the collective resources of the Member States and other participants. The budget of the ECIC that would be made available by Member States and private sector participants over its projected period of operation should respect the timeframes of the actions implemented under this Initiative. The Commission should not be directly a party in the Consortium. With a view to ensure better involvement of all industrial players in these private-public partnerships, ECICs should seek to have a diverse composition, including the participation of SMEs.
Amendment 191 #
Proposal for a regulation
Recital 16
Recital 16
(16) With a view to accelerating implementation of the actions of the Initiative, it is necessary to provide an option of implementing some of the Initiative actions, in particular on pilot lines, through a new legal instrument, the European Chips Infrastructure Consortium (ECIC). The ECIC should have legal personality. This means that when applying for the actions to be funded by the Initiative, the ECIC itself, and not individual entities forming the ECIC, can be the applicant. The main aim of the ECIC should be to encourage effective and structural collaboration between legal entities, including Research and Technology Organizations. For this reason, the ECIC has to involve the participation of at least three legal entities from three Member States and be operated as a public- private sector consortium for a specific action. The setting up of ECIC should not involve the actual setting up of a new Union body and should not be targeted at one specific action under the Initiative. It should address the gap in the Union’s toolbox to combine funding from Member States, the Union budget and private investment for the purposes of implementing actions of the Initiative. In particular, strong synergies can be attained through combined development of the different pilot lines in an ECIC, pooling the Union’s contribution with the collective resources of the Member States and other participants. The budget of the ECIC that would be made available by Member States and private sector participants over its projected period of operation should respect the timeframes of the actions implemented under this Initiative. The Commission should not be directly a party in the Consortium. With a view to ensure better involvement of all industrial players in these private-public partnerships, ECICs should seek to have a diverse composition, including the participation of small and medium sized companies.
Amendment 194 #
Proposal for a regulation
Recital 16 a (new)
Recital 16 a (new)
(16 a) With a view to facilitating the SMEs efforts to innovate and grow and to support the Union’s strategic autonomy, the Commission should continue to reinforce the Enterprise Europe Network.
Amendment 201 #
Proposal for a regulation
Recital 19
Recital 19
(19) Integrated Production Facilities and Open EU Foundries should provide semiconductor manufacturing capabilities that are “first-of-a-kind” in the Union and contribute to the security of supply and to athe resilientce of the semiconductor ecosystem in the internal market. The qualifying factor for the production of a first-of-a-kind facility“first-of-a-kind” is to bring an innovative element to the internal market regarding the manufacturing processes or the final product. Relevant innovation elements could be with regard to the technology node, or substrate material, such as silicon carbide and gallium nitride, and other product innovation that can offer better performance, process technology or energy and environmental performance. A facility of a comparable capability on an industrial scaleor approaches that can lead to performance, improvements in computing power, energy efficiency, level of security, safety or reliability, as well as integration of new functionalities, such as AI, memory capacity or other. Integration of different processes leading to efficiency gains or packaging and assembly automation are also examples of innovation. With regard to environmental gains, innovation elements include the reduction in a quantifiable way of the amount of energy, water or chemicals used, or increasing recyclability of materials. Such innovation should not yet substantively be present or committed to be built within the Union, excludingso that similar innovation provided by facilities for research and development or small- scale production sites. would not crowd out qualifying as “first-of-a-kind”.
Amendment 208 #
(21) In order to qualify as Integrated Production Facilities or Open EU Foundries, the establishment and operation of the facility should have a clear positive impact on the Union's economy, as well as on the semiconductor value chain in the Union, in particular with regard to providing a resilient supply of semiconductors to users on the internal market. The operation of the facility should increase the security of and the resilience of the semiconductor ecosystem and should contribute significantly to the creation of decent and sustainable quality jobs, increased qualified workforce and the objectives of the Union’s green and digital transition. The impact on several Member States, including cohesion objectives, should be considered as one of the indicators of a clear positive impact of an Integrated Production Facility and Open EU Foundry on the semiconductor value chain in the Union.
Amendment 212 #
Proposal for a regulation
Recital 21
Recital 21
(21) In order to qualify as Integrated Production Facilities or Open EU Foundries, the establishment and operation of the facility should have a clear positive impact on the semiconductor value chain in the Union, in particular with regard to providing a resilient supply of semiconductors to users on the internal market. The impact on several Member States, including cohesion objectives, should be considered as one of the particularly important indicators of a clear positive impact of an Integrated Production Facility and Open EU Foundry on the semiconductor value chain in the Union.
Amendment 215 #
Proposal for a regulation
Recital 23
Recital 23
(23) In light of the fast development of semiconductor technologies and to strengthen the future industrial competitiveness of the Union, Integrated Production Facilities and Open EU Foundries should commit to continued and efficient investment into the existing and next generations of semiconductors, including by testing and experimenting new developments through priority access to the pilot lines set up by the Chips for Europe Initiative, without prejudice to effective access by others. The Union's semiconductor ecosystem should be fairly developed across every Member State, including islands and peripheral regions, which have more difficulties in attracting funds as well investments.
Amendment 218 #
Proposal for a regulation
Recital 23
Recital 23
(23) In light of the fast development of semiconductor technologies and to strengthen the future industrial competitiveness of the Union, Integrated Production Facilities and Open EU Foundries should commit to continued and efficient investment into the existing and next generations of semiconductors, including by testing and experimenting new developments through priority access to the pilot lines set up by the Chips for Europe Initiative, without prejudice to effective access by others.
Amendment 259 #
Proposal for a regulation
Recital 35
Recital 35
(35) As part of the monitoring, national competent authorities should also do a mapping of key undertakings operating in the Union along the semiconductor supply chain established in their national territory and notify this information to the Commission.
Amendment 280 #
Proposal for a regulation
Recital 44
Recital 44
(44) Close cooperation between the Commission and the Member States and relevant industrial stakeholders, representing both the semiconductors sector and critical sectors where semiconductors are used, for coordination of any national measures taken with regard to the semiconductor supply chain is indispensable during the crisis stage with a view to addressing disruptions with the necessary coherence, resiliency and effectiveness, while ensuring the confidentiality of information and data obtained in carrying out these tasks. To this end, the European Semiconductor Board should hold extraordinary meetings as necessary. Any measures taken should be strictly limited to the duration period of the crisis stage.
Amendment 312 #
Proposal for a regulation
Recital 52 a (new)
Recital 52 a (new)
(52 a) The decision to impose an obligation to prioritise the production of certain products should not negatively affect the competitiveness of undertakings operating on the internal market. In this respect, special consideration should be given to the importance of trust in commercial relations as well as to business services reliability.
Amendment 334 #
Proposal for a regulation
Article 1 – paragraph 1 – point b
Article 1 – paragraph 1 – point b
(b) setting the criteria to recognise and to support first-of-a-kind or of a common interest Integrated Production Facilities and Open EU Foundries that foster the security of supply of semiconductorand the resilience of the semiconductor ecosystems and deployment of novel and innovative semiconductor technologies in the Union;
Amendment 335 #
Proposal for a regulation
Article 1 – paragraph 1 – point b
Article 1 – paragraph 1 – point b
(b) setting the criteria to recognise and to support first-of-a-kind Integrated Production Facilities and Open EU Foundries that foster the security of supply of semiconductors and the deployment of novel and innovative semiconductor technologies in the Union;
Amendment 338 #
Proposal for a regulation
Article 1 – paragraph 1 – point c
Article 1 – paragraph 1 – point c
(c) setting up a coordination mechanism between the Member States and the Commission, the Commission and the actors in the semiconductor value chain, for mapping the semiconductor value chain and for monitoring the supply of semiconductors and crisis prevention and response to semiconductor shortages, including support for manufacturing and supply of existing technology semiconductors which are used in critical infrastructures.
Amendment 346 #
Proposal for a regulation
Article 2 – paragraph 1 – point 10
Article 2 – paragraph 1 – point 10
(10) ‘first-of-a-kind facility’ means an industrial facility capable of semiconductor manufacturing, including front-end or back-end, or both semiconductor manufacturing facility, including front-end or back-end, or both, capable of manufacturing materials or passive components or equipment specifically used in semiconductor manufacturing or process improvements in terms of efficiency and innovation, with regard to the manufacturing process or final product, that is not yet substantively already present or committed to be built within the Union, for instance with regard to the technology node, substrate material, such as silicon carbide and gallium nitride, and other product innovation that can offer better performance, process innovation or energy and environmental performance. This includes, but is not limited to, innovation that concerns performance, improvements in computing power or in the level of security, safety or reliability, or in energy and environmental performance, or in the use of a new technology node or processing of raw and substrate material, contributing to the security of chips supply in the internal and export markets or un the implementation of production processes that lead to efficiency or competitiveness gains;
Amendment 347 #
Proposal for a regulation
Article 2 – paragraph 1 – point 10
Article 2 – paragraph 1 – point 10
(10) ‘first-of-a-kind facility’ means an industrial facility capable of semiconductor manufacturing, including front-end or back-end, or both semiconductor manufacturing facility, including front-end or back-end, or both, capable of manufacturing materials or passive components or equipment specifically used in semiconductor manufacturing or process improvements in terms of efficiency and innovation, with regard to the manufacturing process or final product, that is not yet substantively already present or committed to be built within the Union, for instance with regard to the technology node, substrate material, such as silicon carbide and gallium nitride, and other product innovation that can offer better performance, process innovation or energy and environmental performance. This includes, but is not limited to, innovation that concerns performance, improvements in computing power or in the level of security, safety or reliability, or in energy and environmental performance, or in the use of a new technology node or processing of raw and substrate material contributing to the security of chips supply in the internal and export markets or in the implementation of production processes that lead to efficiency or competitiveness gains;
Amendment 358 #
Proposal for a regulation
Article 2 – paragraph 1 – point 10 a (new)
Article 2 – paragraph 1 – point 10 a (new)
(10 a) ‘semiconductor manufacturing’ means any of the stages of production and processing of semiconductor wafers, including substrate and equipment manufacturing, front-end and back-end, necessary to deliver a finished semiconductor product, including eventually design;
Amendment 364 #
Proposal for a regulation
Article 2 – paragraph 1 – point 12
Article 2 – paragraph 1 – point 12
(12) ‘front-end’ means the entire processing of a semiconductor wafer including substrate manufacturing;
Amendment 365 #
Proposal for a regulation
Article 2 – paragraph 1 – point 13
Article 2 – paragraph 1 – point 13
(13) ‘back-end’ means the packaging, assembly and test of each individual integrated circuibonding, assembly and packaging, as well as the functional and quality test of each individual component coming out from the manufacturing of the semiconductor product;
Amendment 366 #
(13) ‘back-end’ means the packaging, assembly and test of each individual integrated circuibonding, assembly and packaging, as well as functional and quality test of each individual component coming out from the manufacturing of the semiconductor product;
Amendment 378 #
Proposal for a regulation
Article 2 – paragraph 1 – point 16
Article 2 – paragraph 1 – point 16
(16) ‘critical sector’ means any sector referred to in the Annex of the Commission proposal for a Directive of the European Parliament and of the Council on the resilience of critical entities, the defence sector and other activitiesectors that are relevant for the public health, safety and security;
Amendment 391 #
Proposal for a regulation
Article 3 – paragraph 2
Article 3 – paragraph 2
2. The Initiative, amongst others, shall be supported by funding from the Horizon Europe programme and the Digital Europe programme, and in particular Specific Objective 6 thereof, for a maximum indicative amount of EUR 1.65 billion and EUR 1.65 billion respectively. This funding shall be implemented in accordance with Regulation (EU) No 2021/695 and Regulation (EU) No 2021/694.
Amendment 392 #
Proposal for a regulation
Article 3 – paragraph 2 a (new)
Article 3 – paragraph 2 a (new)
2 a. Important Projects of Common European Interest (IPCEIs) in the area of semiconductors can be co-financed through the Chips Act.
Amendment 393 #
Proposal for a regulation
Article 3 – paragraph 2 a (new)
Article 3 – paragraph 2 a (new)
2 a. Important Projects of Common European Interest (IPCEIs) in the area of semiconductors can be co-financed through the Chips Act.
Amendment 395 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
1. The general objective of the Initiative is to support large-scale technological capacity building and research and innovation throughout the Union’s semiconductor value chain to enable development and deployment of cutting- edge and next generation semiconductor and quantumsemiconductor technologies for quantum chips that will reinforce the Union advanced design, systems integration and chips production capabilities, as well as it shall also contribute to the achievement of the twin digital and green transitions, improve quality employment, strengthen the sustainability circular economy processes and address security needs and cybersecurity threats.
Amendment 448 #
Proposal for a regulation
Article 7 – paragraph 2 – point c
Article 7 – paragraph 2 – point c
(c) consist of at least three legal entities from at least three Member States and be operated as a public-private sector consortium with the participation of the Member States, and private legal entities;, with the participation of SMEs.
Amendment 457 #
Proposal for a regulation
Article 7 – paragraph 4 – point f a (new)
Article 7 – paragraph 4 – point f a (new)
(f a) the composition of the ECIC with regard to facilitating contributions and participation of SMEs.
Amendment 458 #
Proposal for a regulation
Article 7 – paragraph 4 – point f a (new)
Article 7 – paragraph 4 – point f a (new)
(f a) the composition of the ECIC with regard to facilitating contributions of SMEs.
Amendment 487 #
Proposal for a regulation
Article 10 – paragraph 1
Article 10 – paragraph 1
1. Integrated Production Facilities are first-of-a-kind semiconductor design and manufacturing facilities, including front- end or back-end, or both, in the Union that contribute to the security of supply forand the resilience of the semiconductor ecosystem within the internal market.
Amendment 490 #
Proposal for a regulation
Article 10 – paragraph 2 – point a
Article 10 – paragraph 2 – point a
(a) it qualifies as a first-of-a-kind facility or as a facility of common interest;
Amendment 493 #
Proposal for a regulation
Article 10 – paragraph 2 – point b
Article 10 – paragraph 2 – point b
(b) its establishment and operation have a clear positive impact on the economy of the Union and the Union’s semiconductor value chain with regard to ensuring the security of supply and increasing qualified workforce, as well as it shall also contribute to the achieving the objectives of the digital and green transitions;
Amendment 497 #
Proposal for a regulation
Article 10 – paragraph 2 – point b a (new)
Article 10 – paragraph 2 – point b a (new)
(b a) its establishment and operation fulfil the investment spill-over principle, through a clear positive impact on levelling the Member States’ economic and scientific potentials in their participation in semiconductor value chains, particularly with regard to cohesion countries and regions facing permanent natural disadvantages, such as islands.
Amendment 498 #
Proposal for a regulation
Article 10 – paragraph 2 – point b a (new)
Article 10 – paragraph 2 – point b a (new)
(b a) its establishment and operations strengthen the semiconductor value chains in the Union as a whole, fulfilling the investment spill-over principle, while creating a level playing field for the Member States’ economic and scientific potential, especially with regards to peripheral, remote and insular regions, which face additional challenges.
Amendment 520 #
Proposal for a regulation
Article 11 – paragraph 2 – point a
Article 11 – paragraph 2 – point a
(a) it qualifies as a first-of-a-kind facility or as a facility of common interest;
Amendment 525 #
Proposal for a regulation
Article 11 – paragraph 2 – point b
Article 11 – paragraph 2 – point b
(b) its establishment and operation have a clear positive impact on the Union's economy of the and on the Union’s semiconductor value chain with regard to ensuring the security of supply, improving quality employment and increasing qualified workforce, taking into account in particular the extent to which it offers front-end or back-end, or both, production capacity to undertakings not related to the facility, if there is sufficient demand;
Amendment 528 #
Proposal for a regulation
Article 11 – paragraph 2 – point b a (new)
Article 11 – paragraph 2 – point b a (new)
(b a) its establishment and operation fulfil the investment spill-over principle, through a clear positive impact on levelling the Member States’ economic and scientific potentials in their participation in semiconductor value chains, particularly with regard to cohesion countries and regions facing permanent natural disadvantages, such as islands;
Amendment 529 #
Proposal for a regulation
Article 11 – paragraph 2 – point b a (new)
Article 11 – paragraph 2 – point b a (new)
(b a) its establishment and operations strengthen the semiconductor value chains in the Union as a whole, fulfilling the investment spill-over principle, while creating a level playing field for the Member States’ economic and scientific potential, especially with regards to peripheral, remote and insular regions, facing additional challenges;
Amendment 558 #
Proposal for a regulation
Article 12 – paragraph 2 – subparagraph 1 a (new)
Article 12 – paragraph 2 – subparagraph 1 a (new)
The Commission shall process the application and adopt its decision in a timely manner and maximum within 3 months after receipt of the application notify the applicant thereof.
Amendment 574 #
Proposal for a regulation
Article 13 – paragraph 2
Article 13 – paragraph 2
2. In order to reach security of supply in the Union, Member States may, without prejudice to Articles 107 and 108 of the Treaty, apply support schemes or individual measures and provide for administrative support to Integrated Production Facilities and Open EU Foundries in accordance with Article 14.
Amendment 576 #
Proposal for a regulation
Article 13 – paragraph 2 a (new)
Article 13 – paragraph 2 a (new)
2 a. Important Projects of Common European Interest (IPCEIs) in the area of semiconductors can be co-financed through the Chips Act.
Amendment 577 #
Proposal for a regulation
Article 13 – paragraph 2 a (new)
Article 13 – paragraph 2 a (new)
2 a. Important Projects of Common European Interest (IPCEIs) in the area of semiconductors can be co-financed through the Chips Act.
Amendment 615 #
Proposal for a regulation
Article 15 – paragraph 3
Article 15 – paragraph 3
3. National competent authorities designated pursuant to Article 26(1) may request information from representative organisations of key undertakings or individual undertakings operating along the semiconductor supply chain where necessary and proportionate for the purpose of paragraph 1. National competent authorities in such case will pay particular attention to SMEs to minimise administrative burden resulting from the request and will privilege digital solutions for obtaining such information. Any information obtained pursuant to this paragraph shall be treated in compliance with the confidentiality obligations set out in Article 27.
Amendment 685 #
Proposal for a regulation
Article 20 – paragraph 1
Article 20 – paragraph 1
1. The Commission shall, after consulting the European Semiconductor Board, request representative organisations of key undertakings or, if necessary, individual undertakings operating along the semiconductor supply chain to inform the Commission about their production capabilities, production capacities, current primary disruptions and provide other existing data necessary to assess the nature of the semiconductor crisis or to identify and assess potential mitigation or emergency measures at national or Union level. The Commission shall limit the collection of sensitive and business confidential data to what is directly relevant and necessary for the assessment of the nature of the semiconductor crisis or the potential mitigation or emergency measures at national or Union level.
Amendment 692 #
Proposal for a regulation
Article 20 – paragraph 2
Article 20 – paragraph 2
2. The request for information shall state its legal basis, be proportionate in terms of the granularity and volume of the data and frequency of access to the data requested, have regard for the legitimate aims of the undertaking and the cost and effort required to make the data available, and set out the time limit within which the information is to be provided. It shall also indicate the penalties provided for in Article 28. If the request for information is addressed to SMEs, its relevance for the wider Union supply chain shall be taken into account.
Amendment 788 #
Proposal for a regulation
Article 28 – paragraph 1 – point a
Article 28 – paragraph 1 – point a
(a) impose fines, where a representative organisations of undertakings or an undertaking, intentionally or through gross negligence, supplies incorrect, incomplete or misleading information in response to a request made pursuant to Article 20, or does not supply the information within the prescribed time limit;, and without giving a justified rationale as to why the information was not provided in time.