The European Union will provide 920 million euros in funding for the establishment of a chip factory by Germany’s chip manufacturer Infineon. The European Union (EU) has approved the 920 million euro support for Germany’s chip production facility. The EU Commission announced that the measure to support the construction of a new chip production facility in Dresden by Germany’s Infineon company was found to be compatible with EU state aid rules. According to the statement, as a result of the measure, Infineon will complete its project to produce a wide range of chips, the new production facility will enhance the EU’s chip production capacity and strengthen supply chains. The statement noted that the factory is planned to reach full production capacity by 2031, and 920 million euros in grants will be provided to support the company’s 3.5 billion euro investment. The authority to determine how EU member countries will provide state aid lies within the competence of the EU Commission. Member states can provide state aid only in cases that do not distort competition and are in line with the public interest.