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BRUSSELS: The European Union may approve potential state aid to fund new semiconductor facilities in the bloc amid a global chip shortage that is hampering its rebound from the COVID-19 pandemic, the EU's competition chief said on Thursday.

"The Commission may consider approving public support to fill possible funding gaps in the semiconductor ecosystem for the establishment in particular in Europe of first-of-its-kind facilities," Margrethe Vestager told the European Parliament.

Daimler quarterly profits up despite chip crisis

The Commission, which oversees antitrust policy in the 27 EU countries, would seek to ensure such support was subject to strong competition safeguards and that the benefits were shared widely and without discrimination across the European economy.

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