EU Joins US-Led Chip Supply Chain Initiative

The European Union is set to formally join Pax Silica, a US-led initiative coordinating AI chip supply chains and export controls. The move follows weeks of internal EU discussions on whether participation would affect regulatory autonomy. The initiative, launched last December, seeks to secure global supply chains for AI chips, critical minerals and advanced technologies.

The UK, Japan, South Korea, India and Australia have already joined, along with Greece, Finland and Sweden.

France has expressed concerns that the initiative could conflict with the EU's tech sovereignty agenda. Paris and several other capitals requested clarification on governance and its relationship with the G7. Germany, Italy and the Netherlands supported collective participation, arguing it would present a united front toward Washington.

The European Commission pushed for bloc-wide membership to coordinate supply chains and create openings for European businesses.

EU ambassadors are scheduled to approve the initiative on Wednesday.

The same day, Brussels plans to present measures to increase demand for European-made chips and keep sensitive public-sector cloud applications hosted within Europe. The European Commission confirmed after consulting the US State Department that the Pax Silica Declaration is a non-binding political statement.

Ministerial endorsement could follow as early as next week. Under the EU-US trade agreement, the bloc is also set to purchase at least $40 billion worth of US AI chips.