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nippon-gases-boosts-europes-chip-supply-chain-with-investments-in-oevel
© Nippon Gases
nippon-gases-boosts-europes-chip-supply-chain-with-investments-in-oevel
© Nippon Gases

Nippon Gases boosts Europe’s chip supply chain with investments in Oevel

Nippon Gases Belgium has inaugurated a new filling plant, Liquid Fill 2.0, in Oevel, Belgium.

The European industrial gas major, today (19th September), unveiled its plans to better serve the European semiconductor industry, which has experienced significant growth in recent years.

Ahead of the integration, which was attended by gasworld, Nippon Gases highlighted the importance of bolstering the European semiconductor industry and offered a tour of the new plant, showcasing several digital advancements.

Nippon Gases also announced a €15m investment to relocate an existing filling station to this site, underlining the company’s ambition to further growth. The company has named this initiative Project Pegasus II.

The existing facility in Oevel has already been serving the market for many years.

Speaking at the integration event, Frank Rutten, Managing Director at Nippon Gases BNF, said, “Today, we open the doors to a new era of onshoring and innovation. This facility represents the future of manufacturing excellence and improved supply chain security.”

“Semiconductors are at the heart of the global technical evolution. From powering our smartphones and laptops, to enabling groundbreaking developments in artificial intelligence, renewable energy, and many more. These tiny chips really are the backbone of the modern world.”

“As demand for smarter, faster, and more energy efficient devices continues to grow, so does the importance of ensuring a resilient, scalable, and sustainable supply chain.”

The integration ceremony was well attended by the Nippon Gases team, along with its partners, sister companies, and customers. The ribbon-cutting ceremony was also attended by the Mayor of Westerlo, Guy Van Hirtum.

During his speech, Rutten also thanked the local community for its support.

Nippon Gases is part of Nippon Sanso Holdings Corporation (NSHD), the partner company to the Tayio Nippon Sanso industrial gas business in Japan, the US Matheson Tri-Gas Group, Nippon Gases in Europe, the Asia/Oceania Regional Group and Thermos Business Group.

At the time of writing, NSHD’s activities in the semiconductor market represent an important share of its global business and around 18% of the total group sales.

European Chips Act

In July 2023, the European Council approved the European Chips Act (EU Chips Act) in a bid to double the EU’s global market share in semiconductors, from 10% now to at least 20% by 2030.

First announced in February 2022, the Chips Act hopes to mobilise €43bn in public and private investment, with €3.3bn coming from the EU budget.

It is hoped that the investment will make the EU an industrial base for the semiconductor market, and attract further investment, promote research and innovation, and prepare for any future chip supply crisis.

The EU Chips Act was launched after Europe believed it was too dependent on chips produced aboard, something that became even more apparent during Covid-19.

Through the promotion of domestic chip manufacturing, the Chips Act hopes to reduce vulnerabilities and dependencies on foreign actors while reinforcing its industrial base of chips. In turn, this will maximise future business opportunities and create good-quality jobs.

Chips are small devices composed of semiconductors and can store large quantities of information or perform mathematical and logical operations. They are essential for a wide range of daily-use products, from credit cards, to cars, or smartphones.


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