Dutch gov't to invest $2.7 billion to keep ASML in the Netherlands - roads, trains and education included in package

(Image credit: ASML)

The Dutch government has committed €2.5 billion ($2.7 billion) to enhance infrastructure, education, and housing in the Eindhoven region, where ASML is based, to support the company's growth and address its concerns about expanding outside the Netherlands, Bloomberg reports. Micky Adriaansens, the Dutch economic affairs minister, confirmed the figure to journalists, Reuters reports.

The whole project is reportedly called Project Beethoven, and it is expected to take several years, according to media reports. The government's decision to invest in the region follows ASML's hints at considering expansion abroad due to the Dutch business climate, which includes labor migration regulations that restrict foreign talent and issues with tax discounts for emigrants.   

In response to ASML's possible plans to relocate its headquarters and build additional manufacturing capacity in France, the government kicked off a plan to ensure that ASML remains invested in the Netherlands and keeps its headquarters in Veldhoven. The government announced plans to implement unspecified measures to reduce the tax burden on businesses. 

"In taking these measures, the Cabinet presumes that ASML will continue to invest and keep its statutory, fiscal and actual headquarters in the Netherlands," the statement by the Dutch government published by Reuters reads. 

The allocated funds will be used to upgrade the transportation network, including roads, buses, and trains. Additionally, the investment will support technical education and vocational training to meet the ASML's demand for skilled workers. Housing projects are also part of the plan to accommodate the region's growth. 

ASML has welcomed the government's announcement, emphasizing the importance of favorable business conditions, such as the availability of skilled talent, infrastructure, and housing, for its expansion plans in the Netherlands. The company said it looks forward to working with the Dutch government to finalize its decision-making regarding its expansion. 

"We have a preference to achieve a significant part of our expansion plans in the Netherlands, provided that such expansion plans are supported by favorable business conditions," said Monique Mols, the head of ASML media relations, in a statement published by Bloomberg. "The plans presented today, if supported by parliament, strongly support those business conditions, and will continue to work with the Dutch government to finalize our decision making regarding our expansion." 

ASML has huge expansion plans for the next few years. Specifically, the company plans to increase its manufacturing capabilities to 600 deep ultraviolet (DUV) lithography machines and 90 Low-NA extreme ultraviolet (EUV) litho systems per year by 2025 - 2026, and 20 High-NA EUV lithography tools annually by 2027-2028.

Anton Shilov
Freelance News Writer

Anton Shilov is a Freelance News Writer at Tom’s Hardware US. Over the past couple of decades, he has covered everything from CPUs and GPUs to supercomputers and from modern process technologies and latest fab tools to high-tech industry trends.

  • TechLurker
    It would have been quite the coup for France if ASML did end up moving over to them. That said, I wonder if France would also enforce US Sanctions given the convoluted licensing over EUV tech technically still being a US-controlled one.
  • umeng2002_2
    I would think those sanctions go with ASML.
  • ThomasKinsley
    This package deal will likely delay the move, but I suspect it's inevitable within the next decade that ASML moves on.
  • L0rdrobot
    ASLM will be out of business in ten years thanks to the US Sanctions and Dutch Gov... Forcing China to develop it own Litho processes, and they will, only creates a big global competitor. China is already moving into AMD, Intel CPU competition. Chinese AI chips are moving fast, so are GPUs. They will likely hit 5nm this year. They are now closing in on 70% self-reliance on legacy chips.

    There is zero evidence that blocking technology has done anything other than energize China's home grown technology and reduce sales for Intel, AMD, Qualcomm and other US affiliates.

    The Semiconductor business in the US is only 2.3% of the GDP and falling 3% a year. A dozen fab companies competing for next to no business is a disaster in the making. There is no endgame on sanctions. Worse ASML knows it and opposes the Dutch Sanctions.

    What good are Roads, Trains and education when the Dutch Gov is blocking ASML's largest customer. Without China, who will buy Qualcomm chips? Korea? No, Samsung developed its own narrow gates phone chips last year.

    There is not a single US Semiconductor company that supports US Sanctions other than Intel. Think about that. Intel missed the entire hand held market on their own. They failed at making a 10nm chip. Now they are talking about making 2nm chips in Columbus OH, as if it is a snap, using unemployed Union labour left over from the departing rust belt Automotive makers. Intel has been rewarded for this cheap talk to the lion share of the 52 Billion Chips Act. Samsung and TSCM have already made 3nm chips and are able to supply the world demand for narrow gated chips at present.

    Since Intel lost the handheld market and the 5G market, they would like nothing better than to stall AMD, NVIDIA, and Qualcomm... especially with AI coming along. The activity of the US Gov and Intel is nefarious.

    What pray tell is the United States going to do with a dozen fab plants when TSCM and Samsung already can handle the global demand and service the largest customer for all chips which is China. Mathematically this is a bust.

    What does ASML get out of this? Roads, Trains and Education. More simply NOTHING other than increased taxes and increased overhead and more government control.

    The US Gov is in bed with Intel. It sanctions AI chips from NVIDIA and AMD, so Intel can try to catch up and join the parade. And the US Gov Attacks Apple claiming it has a monopoly. A Monopoly? Where? It makes less PCs and less Smartphones than most of the leading global competitors. But what did Apple do? It dumped Intel CPUs and made its own m1 and m2 processors.

    The entire protectionist scam seeks to alter the global semiconductor industry which evolved on its own as a global division of labour industry and worked perfectly for decades. The paranoia of the US Government under Trump and then Biden, felt threatened that the US was dependent on TSCM for narrow gated chips.

    The Trump move to bar Huawei and 5G will be remembered as the downfall of the US Semiconductor industry. And Biden Sanctions doing exactly the same thing is attempting to take Europe, Korea and Japan down with it. But but but National Security!

    Think about that argument for a minute. The US Says, "We don't want Chiner Military using our Chip technology!" No, instead you want China building their own secret Military Chips when in fact if they were using US made chips, the US would know what was in the chips. The US arguments are childish and detrimental to a global industry built on division of labours. ASML has a technology lead only because of the global division of labour. China and Japan had no incentive to build their own lithography until the US talked the Dutch into stupidly sanctioning ASML.
  • Oleksa
    L0rdrobotx8 - china
    Have you received your bowl of rice and catgirl yet?