The European Union has approved a €43 billion ($47.5 billion) plan to develop more fabs and increase semiconductor production in the region. The move will aim to double the EU’s global market share from 10 percent to “at least” 20 percent by 2030, according to a European Council press release.

“In the long run, this will also contribute to the renaissance of our industry and the reduction of our foreign dependencies,” Héctor Gómez Hernández, Spanish minister for industry, trade, and tourism, said in a statement. The Chips Act is meant to attract more investment and elevate research in Europe so that the bloc can be ready for future semiconductor shortages and be less reliant on foreign chips.

The news comes more than a year after the EU outlined ambitious plans to become a leader in developing and fabricating semiconductor chips. Companies like Intel are already building new manufacturing facilities in the continent.

The Chips Act follows after the United States’ increased domestic investments. The US has dedicated $52 billion to compete with China on semiconductor production with the CHIPS and Science Act passed in 2022. The Biden administration is offering $39 billion in incentives for companies to build plants stateside.

The Chips Act was approved by the Council of the European Union today. Next, it will be signed by the president of the European Parliament and the president of the Council and subsequently will be published in the Office Journal of the EU before going into effect.