BRUSSELS — The European Union’s plan to make more microchips could see the sector rival chemicals or steel as a source of greenhouse gas emissions, according to a study from think tank Interface.
Making chips is a complex process that requires huge amounts of power and materials that can harm the environment. Intel’s new plant in the German city of Magdeburg alone is expected to double the city’s energy consumption.
Europe’s efforts to bring more manufacturing back to the region could conflict with political goals to slash emissions. Support for the EU’s Green Deal may already be under pressure as Greens and other parties suffered electoral losses in this month’s European Parliament vote.
Chip-manufacturing emissions could increase up to eight times if the EU manages to hit its target of grabbing 20 percent of the global semiconductor market, up from 8 percent in 2021, Interface said in the study, which was exclusively shared with POLITICO.
