Super Chips and Supply Chains: Europe’s Semiconductor Paradox of Geoeconomic Entanglement
Samuel Kerschbaumer: Super Chips and Supply Chains: Europe’s Semiconductor Paradox of Geoeconomic Entanglement. AIES Focus 2026/1.
19.01.2026
This paper analyzes the European Union’s strategic position within the global semiconductor landscape and examines how intensifying geoeconomics rivalry between the United States and China reshapes the conditions under which Europe must pursue technological competitiveness and security. Drawing on the concept of weaponized interdependence, it outlines the structural vulnerabilities embedded in Europe’s dependence on external chokepoints, particularly in advanced manufacturing and critical raw materials. This paper evaluates recent policy responses across the U.S., China, and key Asian semiconductor hubs, and assesses the implications for European economic statecraft. It further identifies systemic constraints within the European Union’s current semiconductor governance framework and highlights the need for deeper coordination, targeted investment, and selective indispensability rather than unattainable autarky. The analysis concludes with policy recommendations aimed at strengthening Europe’s semiconductor resilience in an era of fragmented supply chains, strategic coercion, and accelerating technological competition.