EU develops strategy to protect tech supply chain from China, Russia

The European Commission is exploring the possibility of restricting the transfer of delicate technologies from the EU member states and European companies to China and Russia. This comes as part of the EU Economic Safety Strategy, which covers areas such as artificial intelligence, quantum calculations, and advanced semiconductor technologies.

The goal of the strategy is not to isolate the European economy, but to reduce the risks associated with imports from outside the EU. Commissioner Margrete Westagger emphasized that the EU is concerned that its economic dependence may be targeted as a weapon by foreign countries.

One of the challenges of this strategy is determining which technologies, infrastructure, and services could pose a threat to national security if supply chains were to be interfered with or certain technologies operated.

The plan also includes provisions to address intellectual property theft that could be used against the EU or its allies. The US sanctions on the Chinese semiconductor industry have caused China to invest in European technology companies, increasing concerns about potential IP theft.

While the documents do not mention China directly, it is apparent that the Middle Kingdom is the aim of the strategy. As most of the proposed rules will likely have serious consequences for Chinese companies operating in the EU.

The EU is yet to define the exact conditions of the strategy. The commission intends to review the proposal in late June, approve the rules by September, and complete the risk assessment by the end of the year.

/Reports, release notes, official announcements.