European electronics industry must shift from defense to competition

Stéphane Klajzyngier, Deputy CEO of ALL Circuits, argues that the European electronics industry has become overly focused on protectionism and defense rather than active competition. While acknowledging the importance of recent policy progress—such as the expanded Chips Act and the Industrial Accelerator Act—he warns that a purely defensive posture risks creating a smaller, slower industry.

Klajzyngier advocates for protecting the middle of the value chain, suggesting that European assembly should count as European content even when components are sourced from elsewhere to preserve design knowledge and jobs. However, he emphasizes that protection is merely a starting point to stop industry decline and that true growth requires taking risks and attacking the market, similar to the competitive models seen in Taiwan.