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Germany is becoming a chip Eldorado: three new factories are planned!
The federal government plans to build three new chip factories by July 2025 in order to establish Germany as a leading production location.
Germany is becoming a chip Eldorado: three new factories are planned!
What is brewing in Berlin? The federal government has big plans: the construction of three new chip factories is on the cards. This decision, according to the report from Deutschlandfunk, is expected to be decided by the Federal Cabinet in July 2025. The underlying concept comes from the Ministry of Research and has the clear goal of developing Germany into a leading chip location in Europe.
With a planned investment of 5.5 billion euros, the federal government would like to create incentives to intensify the production of chips, equipment and intermediate products in this country. The focus is particularly on key areas such as artificial intelligence, microelectronics and biotechnology. Battery production should also be very popular here by 2035.
A bold step into the future
The traffic light government's ambitions are high, especially with regard to its attractiveness for chip manufacturers. Also n-tv highlights that the federal government plans to advance the development and production of smart, energy-efficient chips. A first lead project to implement a supercomputer in cars is scheduled to start this year.
However, the setback caused by Intel's rejection of a new factory in Magdeburg could not stop the plans. Research Minister Dorothee Bär has big plans in store to push the research and development area for AI and quantum technologies.
Promoting semiconductor production
Another important step in this direction is Infineon's project in Dresden, which the European Commission recently approved. Loud Federal Ministry of Economics Infineon is investing around 3.4 billion euros there to create additional production capacity for innovative power semiconductors. These chips are used in the energy industry and electromobility – where there is a strong focus on renewable energies.
The program to promote the Chips Act is aimed at strengthening security of supply in Germany and throughout Europe. The Federal Ministry of Economics and Climate Protection is providing large sums of money to reduce dependence on external suppliers.
The initiative includes not only chip development, but also the expansion of competencies in battery technology and geothermal energy. The global market for green energy technologies is rapidly gaining momentum, with forecasts predicting growth to over $2 trillion by 2035. The aim is to establish Germany as a central location for production and research in these areas.
Overall, it can be seen that things are making good progress in Germany when it comes to chip production. The planned investments are no coincidence and promise to raise the country's innovative strength and competitiveness to a new level. It will be interesting to see how the plans become more concrete in the coming months.