The Cost of Independence: The Strategic Importance of Investing in European Chip Manufacturing

Yes, of course it costs taxpayers money. But let’s not stare at the navel, but also take a broader look at the bigger (strategic) picture.

Don’t we want to reduce our dependence on other countries and become more independent? That’s nice, but that doesn’t come for free, of course, there is a certain price tag attached to it.

It is also understandable that companies want something in return. After all, labor costs here are higher, which has an impact on their profitability. Because they can’t blindly raise the price either, because then they won’t sell more, or at least less.

And of course it does provide employment. Not only at the actual factory in question, but what about the suppliers? Then the Dutch ASML is already one of the suppliers, but there are dozens, if not hundreds, of companies in Europe that are involved in this type of production in one way or another. Because every supplier also has suppliers.

And then you have things like logistics. After all, the chips produced must also be transported. By truck, ship, train or plane. This also generates additional employment in Europe.

Independence may well have a price. What price, you can discuss that, but if you think that something like this can be done for free, then that is a bit short-sighted.

In other words, what is our independence (or at least reduced dependence) worth to us? Where “us” refers to the EU, of course.