China's Legacy Chips In EU's Crosshairs


(MENAFN- Asia Times) The European Union is preparing two surveys aimed at checking how China's growing production capacity of older-generation semiconductors is affecting the bloc.

The European Commission will conduct two surveys covering major chip-consuming industrial firms and the chip industry, respectively, in September, Reuters reported on Saturday (July 6).

The report, citing two unnamed sources, said the EC has already started seeking feedback on the two survey's draft questions.

The EC will ask chip-consuming firms about where they source their so-called legacy chips, which refer to 28-nanometer and older mature chips. Separately, it will ask EU chipmakers about their products and pricing, and their estimates of the same information from their competitors, including the Chinese ones.

Prior to this, the EC had already said in early April that it would carry out surveys to assess the“trustworthiness” of legacy chips used in everything from aerospace to automobiles to home appliances and to find evidence of market distortions.

The Reuters report came after the EC began imposing provisional tariffs of up to 37.6% on Chinese electric vehicles (EVs) on July 5. The EU will make a decision in November on whether the extra tariffs will become permanent.

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Asia Times

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