The EU truly has a double standard: it claims to be willing to stay ahead of China and the US, but in reality, it relies heavily on the US in the field of semiconductors.
According to reports from European News Network on June 1st, the EU is about to officially join the Pax Silica initiative, which is led by the United States.
This initiative actually represents the core circle of artificial intelligence in the United States. Its purpose is to coordinate the AI chip supply chain and export controls, with the aim of countering Chinas dominance in the field of critical minerals and curbing the rise of Chinese technology. Previously, the European Union was concerned that this initiative might undermine its regulatory authority. However, after several weeks of discussion, the EU ultimately decided to join.
Last December, the U.S. government announced the launch of the Silicon Peace initiative. Countries such as the UK, Japan, South Korea, India, and Australia have joined this initiative. Additionally, three EU member statesGreece, Finland, and Swedenhave also joined.
According to reports, this alliance faces criticism in Europe. France has been one of the strongest critics, arguing that this action amounts to colonization of Europe, and goes against the EUs agenda of reducing strategic dependence on foreign suppliers, including those from the United States.
Last December, representatives from the United States and several other countries launched the Silicon Peace initiative. Department of State of the United States
Nevertheless, EU representatives are expected to approve the initiative on Wednesday, March 3rd. After that, the EU will purchase at least $4 billion worth of American AI chips in accordance with the bilateral agreement. After consulting with the US Department of State, the European Commission confirmed that the Silicon Peace Declaration is not legally binding; it is merely a political statement that will not interfere with EU internal decisions.
On the same day, the EU will also announce a set of measures to enhance its technological independence. These measures include increasing the demand for European-made chips, and ensuring that the most sensitive public sector cloud applications remain hosted within Europe.
Reports indicate that American technology giants, led by NVIDIA, dominate the design of advanced AI chips that power the latest generation of AI systems. Europe, on the other hand, controls the production of chip manufacturing equipment through Dutch company ASML, thereby holding a crucial position in the supply chain.
The European Commission believes that promoting collective participation by EU member states in the Silicon Peace initiative will help to coordinate technical supply chains with like-minded partners, and create opportunities for European businesses. Additionally, in recent weeks, several EU member states have joined this alliance individually, increasing pressure on the EU as a whole.
According to European News Network, Germany, Italy, and the Netherlands strongly support joining the group. They emphasize that the EU needs to maintain a unified position towards the United States.
In contrast, France and several member countries have previously sought clarification regarding the governance structure of this initiative, its relationship with the G7, and whether it would undermine the EUs regulatory autonomy in matters related to export controls and foreign direct investment reviews.
According to Bloomberg, in early May, the European Commission plans to send senior officials to the United States to discuss joining the Silicon Peace alliance. Meanwhile, EU officials are discussing with French officials the conditions required for the EU to join this alliance, as well as any matters that need clarification.
However, the accession of the EU will be carried out in stages. Obtaining approval from the representatives of member states on the 3rd will be the first step towards the official establishment of the EU. Subsequently, further approval at the ministerial level is required. It is expected that this process can be completed as early as next week.
From the Biden administration to the Trump administration, the United States has implemented a series of chip export restrictions to suppress Chinas technological development. These restrictions have been continuously tightened over time. Additionally, the United States has formed alliances and groups in an attempt to jointly block China.
On May 31th, the U.S. Department of Commerce took further action to shut down what was once a regulatory loophole that had existed for over a year. According to reports, this loophole allowed several companies to export high-quality chips to Chinese entities located outside Chinas territory. These chips included NVIDIAs advanced Rubin and Blackwell processors, as well as AMDs MI350x chip.
However, the US efforts to contain China have proven ineffective. In recent years, Chinese domestic companies have grown rapidly, particularly in the field of high-end AI chips.
Regarding issues such as American chips exported to China, the Chinese side has repeatedly stated its position. Foreign Ministry spokesman Mao Ning previously said that it has been proven that small courtyards and high walls cannot stop Chinas pace of innovation and development. Such measures also hinder the healthy growth of the entire industry, including American companies. The US should adhere to the principles of a market economy and fair competition, and support companies from various countries in promoting technological progress through healthy competition.
