AMSTERDAM, Dec 2(Reuters) - The incoming European

Commission should follow recommendations made by Mario Draghi

for a more coherent industrial policy and launch a European

"Chips Act 2.0" to remain competitive against the U.S. and

China, industry group SEMI Europe said on Monday.

SEMI said it backed the report issued in September by the

former ECB chief, including the need for a centralised EU

budget, a "fast-track" approval process for strategic high tech

projects, and additional spending to strengthen the European

semiconductor ecosystem beyond the original 2023 Chips Act.

As the U.S. and China have rolled out export restrictions on

chip technology and strategic minerals, the EU should make quick

decisions on its own export policy "to protect EU strategic

interests and to assert a strong EU voice on the global stage",

SEMI's statement said.

SEMI is the broader of Europe's two main trade semiconductor

industry groups, with 300 members representing firms including

top equipment supplier ASML, as well manufacturers and

research centres.

The other is ESIA, representing chipmakers such as Infineon

, STMicroelectronics and NXP.

In an interview with Reuters last week, ESIA's chief also

called for a Chips Act 2.0 that would support manufacturing in

"legacy and foundational" chips, where the leading European

firms face increasing competition from state-subsidised Chinese

rivals.

The SEMI recommendations said that while it supported Chips

Act goals such as attracting new manufacturing, the EU should

also offer incentives to support new technologies and the

semiconductor supply chain, which it said were increasingly

important for the success of Europe's green transition.