Germany’s southern state of Bavaria, dwelling to BMW and Audi, is in talks with Intel to construct a European chip manufacturing facility in a bid to counter provide bottlenecks which have hampered manufacturing within the automotive sector, the state’s economic system minister mentioned.
In latest months, the U.S. chipmaker has been searching for 8 billion euros ($9.5 billion) in public subsidies to construct a semiconductor manufacturing web site in Europe.
“I strongly help this,” Financial system Minister Hubert Aiwanger mentioned. “The attainable location of a giant worldwide semiconductor producer in Bavaria is an impressive alternative.”
Bavaria has instructed a little-used air base in Penzing-Landsberg, west of Munich, as a attainable location for the manufacturing facility, Aiwanger mentioned.
A scarcity of semiconductors is inflicting headwinds for Europe’s automotive producers and threatens to de-rail Germany’s financial restoration from the coronavirus pandemic.
The European Union is contemplating making a semiconductor alliance together with STMicroelectronics, NXP, Infineon and ASML to chop dependence on international chipmakers throughout a worldwide provide chain crunch.