Industrial Policy & Trade Monitor· 2665 actions· ✨ 90 recent

The European Commission (DG COMP) approved on 20 May 2026 two German State aid measures under the European Chips Act first-pillar 'first-of-a-kind' framework and Article 107(3)(c) TFEU, totalling €288 million. A €222 million grant supports Carl Zeiss SMT GmbH's HNA@SCALE project in Oberkochen (Baden-Württemberg) to industrialise the next generation of High-NA EUV optical columns — the lithography-optic sub-systems integrated by ASML into its High-NA EUV scanners and critical to 2nm-and-below node manufacturing globally. A separate €66 million grant supports Zadient Materials Europe GmbH's SiC-Pro project in Bitterfeld (Saxony-Anhalt) to construct a first-of-a-kind ultra-pure silicon carbide (SiC) source-material manufacturing facility, addressing upstream SiC supply-chain dependence on China (which produces ~80% of global SiC). Both facilities carry cross-border spillover commitments under Chips Act pillar 1.

The European Investment Fund (EIF), part of the EIB Group, announced on 9 February 2026 an anchor investment of EUR 300 million (~USD 354.8 million) in Seaya Growth Tech Fund I, a Spain-based pan-European growth venture capital vehicle targeting a EUR 1 billion final close. The commitment is made under the European Tech Champions Initiative (ETCI), and the fund will make growth-stage (Series C+) equity investments in European companies across applied AI, deep-tech, fintech, climate solutions, smart manufacturing, supply-chain resilience, capital-market autonomy, cybersecurity and environmental technology. Global Trade Alert separately logs the transaction as a "red"-flagged state-linked financial-investment-support intervention.

The European Investment Bank signed guarantee agreements with Banco Santander totalling EUR 450 million on 29 January 2026, announced by EIB Group President Nadia Calviño during the Group's results presentation in Brussels. The guarantees are expected to unlock around EUR 900 million in new supply-chain financing for European companies: EUR 400 million for security-and-defence manufacturers (cybersecurity, surveillance, resilience and defence-technology suppliers) under the EIB's EUR 3 billion pan-European intermediated financing instrument for the defence industrial base, and EUR 500 million for companies in clean technologies, telecommunications and digital infrastructure via reverse-factoring supply-chain-finance instruments. Santander is reported as the fourth major European bank to sign under the defence-supply-chain programme, and the clean-tech/digital tranche contributes to the EIB Group's TechEU initiative.

On 9 January 2026, Canada's Minister of Industry Mélanie Joly announced Defence Industry Assist (DI Assist), a CAD 244.2 million (~USD 178.6 million) funding and advisory initiative delivered through the National Research Council's Industrial Research Assistance Program (NRC IRAP). The programme funds high-potential Canadian SMEs developing made-in-Canada defence and dual-use technologies, with the stated aims of reducing barriers to market entry, connecting recipients to procurement pathways, and strengthening domestic supply-chain collaboration. It sits within Canada's broader Defence Industrial Strategy (CAD 6.6 billion over five years from 2025-26) and Canada's push toward its 2% NATO defence-spending target.

On 30 December 2025 the General Office of the Shanghai Municipal People's Government issued Hufubangui [2025] No. 20, a three-year action plan (1 January 2026 - 31 December 2028) to support the transformation and upgrading of advanced manufacturing. The plan sets quantitative targets — 100 new manufacturing enterprises with annual output above CNY 1 billion by 2028 (cumulative 600+), 500 new above-designated-size supply-chain enterprises, 100+ new national-level green factories, a robot density of 600 units per 10,000 workers, and 70%+ digital-equipment penetration — across next-generation electronics, intelligent connected new-energy vehicles, high-end equipment, advanced materials, green low-carbon and fashion consumer-goods industries, plus emerging bets on the low-altitude economy, commercial aerospace, embodied intelligence (robotics) and biomanufacturing. It is funded through tiered direct subsidies rather than tax relief: one-off R&D subsidies up to CNY 10 million, equipment/new-materials cost-share up to 30% of contract value (capped at CNY 20 million), technical- transformation loan/leasing interest support up to CNY 20 million cumulative, and 0.8-1.3% interest subsidies on component/material backup-inventory financing.

On 26 December 2025, Japan's Cabinet approved the FY2026 (Reiwa 8) national budget, which the Global Trade Alert database logs as including a "Leading Technology Development and Demonstration Project for Hydrogen Society Promotion" financial-grant line administered by METI, effective with the fiscal year on 1 April 2026. NEDO -- METI's implementing R&D agency -- operationalises this budget line through competitive solicitations for hydrogen-supply-chain technology development and demonstration; the FY2026 tranche includes the "Advanced Technology Development and Demonstration Project for Hydrogen Society Model Construction" (水素社会モデル構築高度化技術開発・ 実証事業, project code P26004), soliciting proposals from 19 March to 22 April 2026 for regional hydrogen-supply-chain business models (survey phase up to 2 years; technology development/demonstration phase up to 5 years). The predecessor NEDO hydrogen-technology- development project line (FY2014-2025) was budgeted at roughly JPY 8.1 billion in its final year (FY2025); the FY2026-specific grant total was not disclosed in the sources reviewed.

On 26 December 2025, Japan's Cabinet approved the FY2026 (Reiwa 8) national budget, which Global Trade Alert logs as including a "Next-Generation Aircraft Development Support" financial-grant programme administered by METI, effective with the fiscal year on 1 April 2026 and running through 31 March 2027. The line item corresponds to METI's "Next-Generation Aircraft Development Support Project" (jiki kokuki kaihatsu-to shien jigyo), funded through the Decarbonisation Growth-type Economic Structure Transition Promotion Subsidy (GX Transition Bond proceeds) and disbursed via a designated implementing body to aerospace-supply-chain firms. The FY2026 allocation is JPY 150 billion, up from JPY 81 billion in FY2025 -- an 85% increase -- aimed at strengthening Japan's aircraft-parts and materials supply chain (composites, advanced materials, engine and airframe components) and its international-competitiveness and economic-security positioning in next-generation aircraft programmes.

On 26 December 2025, Japan's Cabinet approved the FY2026 (Reiwa 8) national budget, which allocates JPY 122.0 billion (~USD 800m) to the "Next-Generation Innovative Reactor Technology Development and Industrial Base Strengthening Support Project" (次世代革新炉の技術開発・産業基盤強化支援事業), up from JPY 88.9 billion in the FY2025 initial budget plus a JPY 6.0 billion FY2025 supplementary allocation. The programme, administered by ANRE under METI's GX (Green Transformation) Promotion budget, funds technology development and supply-chain build-out for Japan's "innovative light-water reactors" (revised BWR/PWR designs with enhanced passive safety) and small modular reactors under the government's GX2040 Vision. The budget takes effect with Japan's fiscal year on 1 April 2026, subject to ordinary Diet passage in early 2026.

The European Investment Bank signed a EUR 250 million guarantee tranche with Banco Santander SA on 19 December 2025 (approved 2 December 2025) under the "Santander Pan-EU Supply Chain" project (EIB ref. 20231000), part of a proposed EUR 500 million total EIB commitment mobilising an estimated EUR 1,200 million in on-lending. The EIB assumes credit risk on new "confirming line" reverse-factoring facilities, letting Santander extend supply-chain finance on better terms to SMEs, mid-caps and EU strategic-sector suppliers, including higher-risk buyers. Global Trade Alert separately logged the transaction as a "red"-flagged state-linked lending-support intervention.

On 19 December 2025 Germany's Federal Ministry for Economic Affairs and Energy (BMWE) announced EUR 170 million in direct federal grants to seven transformation projects in former coal regions under the STARK programme (Stärkung der Transformationsdynamik und Aufbruch in den Revieren und an den Kohlekraftwerksstandorten), targeting an expected EUR 600 million in total triggered investment and roughly 600 direct jobs plus up to 3,000 indirect supply-chain jobs. The largest disclosed awards anchor the domestic battery-materials value chain: EUR 63.4 million to Aachen startup Cylib for Europe's first industrial-scale LFP battery-recycling line at Chempark Dormagen (60,000 t/year capacity), EUR 36 million to AMG-Lithium GmbH for a battery-grade lithium-salt production expansion (~20,000 t/year) at Chemiepark Bitterfeld-Wolfen, and EUR 46.1 million to Altech Batteries GmbH for a sodium-based (CERENERGY) stationary storage factory at the Lusatian industrial park Schwarze Pumpe. A fourth confirmed recipient, ORE Energy, received EUR 16.2 million for an iron-air storage project ("IronAir4Ruhr") in Gelsenkirchen; the remaining three of the seven funded projects are not yet individually named in public BMWE materials.

The European Investment Bank signed a EUR 400 million unfunded risk-sharing guarantee operation with Barclays Europe on 18 December 2025 (EIB project ref. 20250198, "Barclays Pan-EU Wind Power Package RS"), the first-ever EIB-Barclays cooperation and a bank-level sub-operation under the EIB's broader Pan-EU Wind Power Package Risk Sharing envelope. Barclays will issue counter-guaranteed advance-payment and performance bonds to wind-energy original equipment manufacturers (turbines, cables, substations, foundations, grid interconnectors), with EUR 250 million of the guarantee capacity earmarked for Germany and EUR 150 million for other EU member states, and the EIB citing an expected mobilisation of roughly EUR 800 million in wind supply-chain investment EU-wide. Global Trade Alert separately logs the transaction as a "red"-flagged state-linked lending-support intervention (state act 96017 / intervention 151940).

Japan Bank for International Cooperation (JBIC), Japan's state export-credit and outbound-investment finance institution, signed a loan agreement announced 2025-12-18/19 providing USD 98 million toward roughly USD 163 million in total co-financing (with Mizuho Bank) for NSC (Australia) Pty Ltd (NSCA), the Australian subsidiary of Nippon Sanso Holdings Corporation (TSE: 4091). The facility finances part of NSCA's July 2025 acquisition of the Coregas Group (Coregas Pty Ltd and Blacksmith Jacks Pty Ltd in Australia, Coregas NZ Limited in New Zealand), an industrial-gas producer with one of the Southern Hemisphere's largest production facilities and an active hydrogen-production development program. JBIC explicitly framed the loan as supporting "Japan's economic security" by strengthening the resilience of industrial-gas supply chains used across manufacturing, medical, and beverage industries.

The European Commission approved a €4.1 billion Hungarian state aid scheme (SA.120705) under Section 6.1 of the Clean Industrial Deal State Aid Framework (CISAF), authorising grants and tax advantages for strategic investments that add cleantech-manufacturing capacity across Hungary through 31 December 2030. Eligible activities cover net-zero technologies listed in Annex II of the CISAF — batteries, solar PV, wind turbines, electrolysers, heat pumps, and CCUS equipment — plus their main specific components and the production or recovery of related critical raw materials. The scheme is open to companies across the whole territory of Hungary and is the CISAF-era successor to Hungary's EUR 2.36 billion TCTF net-zero scheme (approved 2023-08-30, aid deadline 31 December 2025), which channelled the bulk of Chinese and Korean battery/EV-supply-chain FDI into the Debrecen–Szeged–Göd–Nyíregyháza industrial cluster.

The UK Department for Business and Trade, alongside HM Treasury, the Prime Minister's Office and the Scotland Office, announced a GBP 125 million support package for INEOS Olefins & Polymers UK's Grangemouth site, comprising a GBP 75 million government-backed loan guarantee and a GBP 50 million grant. The package forms part of a wider GBP 150 million joint investment with INEOS to fund energy-efficiency upgrades, carbon-emission reductions and productivity improvements at the ethylene production facility, protecting around 500 on-site jobs plus supply-chain roles. Funds are restricted to site-improvement uses and the government retains a right to share in future profits.

On 3 December 2025 President Pedro Sánchez presented the Plan España Auto 2030, a five-year roadmap to mobilise EUR 30 bn (public + private) through 2030 to anchor electric-vehicle, battery and charging- infrastructure manufacturing in Spain. The plan is the first comprehensive Spanish auto-industrial policy of the post-COVID era and is structured as three immediate 2026 envelopes plus a multi-year PERTE-track: (i) Plan Auto+ — EUR 400 m in direct consumer-purchase subsidies effective 1 January 2026, replacing the autonomous-region- managed MOVES III with a centralised dealer-discount model run by MINCOTUR; (ii) MOVES Corredores — EUR 300 m for fast-charging-corridor deployment; and (iii) an additional EUR 580 m allocated to the PERTE VEC (Vehículo Eléctrico y Conectado) industrial-finance instrument in 2026, on top of the EUR ~3 bn already mobilised across previous PERTE VEC calls. The headline ambition is a sub-EUR 25,000 "affordable Spanish electric car" and 95% electrified light-vehicle production by 2035.

The US Department of Energy selected the Tennessee Valley Authority (TVA) and Holtec Government Services to receive up to $800 million in combined federal cost-shared funding — $400 million each — to accelerate deployment of advanced light-water small modular reactors (SMRs). TVA's award backs a GE Vernova Hitachi BWRX-300 unit at the Clinch River site in Oak Ridge, Tennessee, targeted to be the nation's first commercial SMR (commercial operation targeted early 2030s), with domestic supply-chain partners Scot Forge, North American Forgemasters, BWX Technologies and Aecon. Holtec's award backs deployment of two SMR-300 units at the Palisades Nuclear Generating Station site in Covert, Michigan. The program is intended to expand US SMR manufacturing capacity and seed follow-on domestic and export supply chains.

The Canadian federal government announced a Strategic Response Fund contribution of up to CAD 210 million (~USD 151 million) toward a CAD 662 million project to expand semiconductor advanced-packaging and R&D commercialisation capacity at IBM Canada's Bromont, Quebec facility and the MiQro Innovation Collaborative Centre (C2MI). The federal contribution covers roughly one-third of total project cost. Ministers Mélanie Joly (Industry) and Evan Solomon (AI and Digital Innovation) announced the investment on 2025-11-28, framing it around domestic supply-chain resilience for AI/HPC, aerospace and defence, telecommunications, and automotive end-markets. The project is projected to create 75 new highly-skilled jobs and sustain over 1,000 existing jobs in the Bromont region.

On 24 November 2025, six Beijing municipal departments — the Bureau of Economy and Information Technology, Development and Reform Commission, Science and Technology Commission, Health Commission, Drug Administration and Medical Insurance Bureau — jointly issued Notice 京经信发〔2025〕50号 ("Several Measures to Promote High-Quality Development of the Beijing Medical Device Industry"), effective immediately through 31 December 2028. The 15-measure package subsidises the full medical-device value chain: early-stage innovation (up to RMB 1m per project), product approval/launch (up to RMB 2m per product, RMB 10m annual enterprise cap), industrial-park and public-service infrastructure construction (up to 50% of investment, capped at RMB 50m), supply-chain-resilience R&D for critical components/materials (up to 30% of investment, capped at RMB 30m), AI-diagnostic-model development (up to RMB 30m), smart-factory digitalisation (up to 30% of investment, capped at RMB 30m per project), and international regulatory approval/market entry (up to RMB 1m per product, RMB 3m annual cap; up to RMB 10m for introducing overseas products to China).

On 21 November 2025, METI Minister Yoji Akazawa designated Rapidus Corporation as the official next-generation semiconductor manufacturer under Japan's Act on Facilitation of Information Processing (情報処理の促進に関する法律, as amended by the Cabinet-approved partial-amendment bill of 7 February 2025), following a public solicitation run 3 September – 2 October 2025. The designation makes Rapidus eligible for a multi-year METI funding envelope reported at roughly JPY 1tn (~USD 6.4bn), with an initial JPY 100bn equity investment by the Information-technology Promotion Agency (IPA) planned for FY2025; the funds support Rapidus' Hokkaido (Chitose) IIM-1 fab targeting 2nm GAA mass production from April 2027 and successor 1.4nm / 1nm nodes. The action is the first standalone Rapidus entry in the IPTM register and operationalises the supply-chain pillar of the 2022 Economic Security Promotion Act for advanced logic.

The European Investment Fund (EIF), part of the EIB Group, invested EUR 20 million (~USD 23.1 million) on 6 November 2025 in TIN Capital's European Cyber Tech Fund V, a growth-equity vehicle backing European cybersecurity scale-ups. EIF's participation is supported under the European Commission's InvestEU programme; alongside Invest-NL and private investors, the fund closed at over EUR 80 million. The EIF frames the investment as strengthening Europe's digital security and autonomy amid incoming EU cybersecurity regulation (NIS2, the Cybersecurity Act, DORA). Global Trade Alert separately logs the transaction as a "red"-flagged state-linked financial investment-support intervention.

On 4 November 2025 Korea's Ministry of Trade, Industry and Energy (MOTIE) launched a new "steel export supply-chain strengthening guarantee" product as part of a broader steel-industry advancement plan. POSCO and the Industrial Bank of Korea (IBK) jointly seeded KRW 20 billion, on which the Korea Trade Insurance Corporation (K-Sure) built a KRW 400 billion (~USD 274 million) preferential guarantee program for small and mid-sized steel exporters and steel-derivative producers hit by tightening trade barriers abroad, chiefly the US Section 232 steel tariff regime. Benefits include interest-rate cuts of up to 2 percentage points, guarantee-period extension from 1 to 3 years, a guarantee-fee cut from 1% to 0.7%, and expanded guarantee limits.

Japan Bank for International Cooperation (JBIC), Japan's state export-credit and outbound-investment finance institution, signed a loan agreement on 2025-06-30 (announced 2025-10-06) providing USD 20.712 million toward a total co-financed package of USD 34.52 million (with Saitama Resona Bank, Limited) for F&P America Mfg., Inc. (FPA), the U.S. subsidiary of F-TECH INC. (Japan). The facility finances FPA's manufacturing and sale of suspension parts for battery electric vehicles (BEVs) at its plant in Ohio, following a major BEV suspension-component order. JBIC framed the loan as supporting the international competitiveness of Japanese industry and reinforcing the resilience of the Japanese automotive supply chain.

The European Investment Fund (EIF), part of the EIB Group, committed EUR 30 million (~USD 35 million) at first closing on 17 September 2025 to Sienna Hephaistos Private Investments S.C.A. SICAV-RAIF, a Luxembourg-domiciled fund managed by Sienna Investment Managers (France). The commitment is the inaugural investment under the InvestEU Defence Equity Facility (DEF), an EU financial instrument created to close the financing gap faced by SMEs and midcaps in Europe's defence supply chain. Sienna Hephaistos is described as the first private credit vehicle in Europe dedicated exclusively to defence-sector financing, providing debt capital rather than equity to defence-linked suppliers. Global Trade Alert separately logs the transaction as a "red"-flagged state-linked equity/financial-investment-support intervention.

Spain's Ministry of Industry and Tourism awarded InoBat (Slovak battery manufacturer, 25%-owned by China's Gotion High-Tech) a EUR 53.8 million grant plus a EUR 456,000 loan under the third call of PERTE VEC (Programa Estratégico para la Recuperación y Transformación Económica — Vehículo Eléctrico y Conectado), the battery-manufacturing tranche of Spain's EV supply-chain industrial-policy programme. The award, announced by President Pedro Sánchez on 8 September 2025, was to support a planned 32 GWh battery gigafactory in Valladolid (EUR 712m total project investment, 260 direct / ~500 indirect jobs, full capacity targeted for 2029). MINCOTUR later recorded InoBat's withdrawal of the award (~18 November 2025) after the Valladolid project was folded into a larger, Gotion-led initiative.

France's Ministry of Industry and Energy, under Minister Marc Ferracci, announced a EUR 200 million green-industry tax credit (crédit d'impôt au titre des investissements dans l'industrie verte, C3IV) for Imerys' EMILI project at Échassières (Allier) — France's first domestic lithium mining and refining operation. The award was made as the project's total construction cost was revised up to EUR 1.8 billion. Once operational (targeted 2030), the site is expected to produce 34,000 tonnes of lithium hydroxide per year, enough to supply around 700,000 electric vehicles and cover over 20% of French battery factories' lithium needs. The award was announced alongside a wider package of C3IV support: seven critical-metals projects received a combined ~EUR 809 million in tax credits, part of ~EUR 5.4 billion in supported critical raw materials investment nationally.

On 29 August 2025 the Pinggu District (Beijing) Science, Technology and Economic Informatization Bureau issued "Several Measures to Promote the High-Quality Development of High-End Manufacturing in Pinggu District" (平谷区促进高端制造业高质量发展若干措施), published to the district government portal on 25 September 2025 with a two-year validity period. The scheme offers manufacturers registered and operating in Pinggu a stack of output-growth, R&D, smart-factory, green-transformation, pharma/medical- device, auto-parts-supply-chain, and synthetic-biology subsidies, with per-recipient caps ranging from RMB 200,000 up to RMB 10 million for qualifying pharmaceutical/medical-device innovators.

On 19 August 2025 the Australian Renewable Energy Agency (ARENA) opened applications for the Battery Breakthrough Initiative (BBI), an AUD 500 million capital-grant and production-incentive program to build domestic battery manufacturing capability across the value chain, from active materials to finished cells and packs. The program was first announced in the May 2024 Federal Budget as a pillar of the Future Made in Australia agenda and the National Battery Strategy, and is designed to strengthen supply-chain resilience by leveraging Australia's position as the world's largest lithium producer and a major nickel/cobalt/graphite supplier. Funding was subsequently cut to AUD 142.32 million in the 2026 Federal Budget (see amendments).

Export Finance Australia (EFA), Australia's export credit agency, approved a AUD 100 million loan to Toll Holdings Pty Ltd on 29 July 2025 to finance the logistics group's infrastructure and supply-chain expansion across Southeast Asia and South Asia. The loan is delivered under the government's Southeast Asia Investment Financing Facility (SEAIFF), a broader AUD 2 billion vehicle supporting Australian trade and investment engagement with the region, and aligns with the "Invested: Australia's Southeast Asia Economic Strategy to 2040." No tariff or market-access measure is involved — this is state export finance directed at a single named beneficiary.

Japan Bank for International Cooperation (JBIC) signed a loan agreement on 2025-07-11 for approximately USD 46 million with MGC Pure Chemicals America, Inc. (MPCA), the US subsidiary of Mitsubishi Gas Chemical Company. Co-financed alongside Bank of Yokohama, Hachijuni Bank, and Joyo Bank, the total co-financing package reaches USD 77 million. Proceeds fund expansion of MPCA's Arizona production capacity for ultra-pure hydrogen peroxide and ultra-pure ammonium hydroxide — semiconductor-grade chemicals used for silicon-wafer cleaning and etching — as JBIC states, to strengthen Japanese supply-chain resilience and support US semiconductor manufacturing demand. This is MPCA's second JBIC-backed expansion loan, following a USD 36 million (JBIC portion) facility signed in April 2024 for the same production line.

Japan Bank for International Cooperation (JBIC) signed a loan agreement on 2025-06-30 for USD 180 million (JBIC portion) with Toray Composite Materials America, Inc. (CMA), the US subsidiary of Toray Industries, Inc. Co-financed with Mizuho Bank and seven other Japanese financial institutions, the total co-financing package reaches USD 300 million. Proceeds fund CMA's manufacturing and sale of carbon fiber for high-pressure gas tanks used in hydrogen-powered fuel cell vehicles (FCVs), which JBIC states supports maintaining and improving the international competitiveness of Japan's carbon fiber industry and strengthening supply-chain resilience.

On 29 April 2025 Brazil's Federal Senate approved two external credit operations, both backed by a Union guarantee, authorizing the national development bank BNDES to raise a combined ~BRL 2.6 billion (~USD 460m). USD 250m (~BRL 1.4bn) comes from the Inter-American Development Bank (IDB) to fund the BID-BNDES Program for Sustainable and Productive Recovery of MSMEs, prioritising women-led, vulnerable-area and sustainability-linked enterprises that have not yet recovered from COVID-19. JPY 30bn (~BRL 1.2bn) comes from Japan's JICA, split up to JPY 12bn (~BRL 480m) for the medical/health sector and up to JPY 18bn (~BRL 720m) for MSMEs across other sectors, at a concessional 0.01%/year interest rate, 180-month total term and 4-year grace period. Effective the same day as Senate approval; BNDES on-lends the funds via its standard repasse network of accredited financial institutions.

On 19 December 2023, the Thai Cabinet endorsed the second phase of the national electric-vehicle support programme ("EV 3.5") covering 2024-2027, following its approval by the National Electric Vehicle Policy Committee. The Excise Department published the implementing Notification on 28 December 2023; the regime entered into force on 1 January 2024. EV 3.5 combines (i) per-vehicle purchase subsidies of THB 50,000-100,000 for battery-electric passenger cars and pick-ups, (ii) a reduction in excise duty on BEV passenger cars priced ≤ THB 7 million from 8% to 2%, and (iii) up to 40% import-duty relief on Completely Built-Up (CBU) BEV passenger cars priced ≤ THB 2 million during 2024-2025. Participating OEMs must offset CBU imports with domestic Thai production at a 1:2 ratio by end-2026 and 1:3 by end-2027, or face clawback of the granted incentives. The package is the operational successor to EV 3.0 (2022-2023) and was designed to lock in the wave of Chinese-OEM gigafactory and assembly investment that EV 3.0 attracted (BYD Rayong, MG/SAIC, GAC AION, Great Wall Motor, NETA, Changan, Chery). By the August 2025 EV-Board meeting Thailand had logged > THB 137 billion in approved EV-supply-chain investment under the combined EV 3.0 + EV 3.5 envelope. EV 3.5 is the central instrument in Thailand's "EV Hub of ASEAN" industrial strategy and the principal regional competitor to Indonesia's nickel-anchored EV-cluster bid and Vietnam's Decree 182 investment-support fund.

Regulation (EU) 2023/1781, published in the Official Journal on 18 September 2023 and in force from 8 October 2023, establishes the EU Chips Act: a three-pillar framework targeting 20% of global semiconductor production by 2030 (up from approximately 9% in 2022) by mobilising EUR 43bn in public and private investment. Pillar 1 (Chips for Europe Initiative, EUR 3.3bn committed from EU budget) funds R&D, pilot production lines, and design infrastructure. Pillar 2 creates a fast-track permitting regime for "Integrated Production Facilities" (IPFs) and "Open EU Foundries" (OEFs) that qualify as being in the Union's interest. Pillar 3 establishes a supply-chain monitoring mechanism and grants the Commission power to mandate priority orders from designated facilities during a declared semiconductor crisis.

The CHIPS and Science Act (Public Law 117-167), signed into law by President Biden on 9 August 2022, appropriated $52.7 billion in direct semiconductor industry support: $39B in manufacturing incentives administered by the Commerce Department, $13.2B for R&D and workforce, and $0.5B for legacy-chip and supply-chain programs. It also created an Advanced Manufacturing Investment Credit (Section 48D) — a 25% refundable investment tax credit on qualified semiconductor manufacturing property. The law included a "guardrails" clause prohibiting recipients from expanding advanced-node capacity in countries of concern (most prominently China) for 10 years following award.