ASML's Future Growth in Netherlands Uncertain Amid Immigration Concerns

[AleksandarK]

Chipmaking manufacturing equipment giant ASML has expressed concerns about staying in the Netherlands and considering expansion into other countries due to its home country's capped possibilities. On Wednesday, ASML executives met with Netherlands Prime Minister Mark Rutte to discuss the company's growth plans. The meeting, however, failed to fully resolve ASML's concerns surrounding the country's stance on skilled foreign labor, leaving uncertainty over the tech giant's expansion in its home market. Being one of the world's largest suppliers to chipmakers, ASML has said it needs to double its operations in the following decade to meet soaring demand. However, the company is hitting roadblocks in the Netherlands, including difficulty obtaining building permits, constraints on the electrical grid, transportation bottlenecks, and a need for supporting infrastructure like hospitals, schools, and housing. A key issue is the Netherlands' ability to attract scarce foreign engineering talent, with over 40% of ASML's Dutch workforce being non-Dutch. Recent parliamentary motions to cap international students and scrap a tax break for skilled migrants have met with criticism from ASML and other tech employers.

In an effort dubbed "Operation Beethoven," the Dutch government is scrambling to address ASML's concerns and prevent the company from expanding abroad, having already seen multinationals like Shell and Unilever leave their home country in recent years. However, ASML CEO Peter Wennink said that while the company prefers to grow in the Netherlands, it can do so elsewhere if needed. The situation comes amid pressure from the US for allies like the Netherlands to tighten restrictions on China's further access to semiconductor technology. As the sole producer of extreme ultraviolet (EUV) lithography machines crucial for advanced chipmaking, like High-NA and Low-NA, ASML holds strategic importance beyond just economics. With a new right-wing Dutch government being formed, whether a compromise can be reached to ensure ASML's continued growth in the Netherlands remains to be seen. The tech giant's decision could significantly affect the Dutch economy and its position in the global chip industry.



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[JohH]

Imagine letting corporations dictate your immigration policy instead of the electorate. Sounds undemocratic.

 

[Noyand]

Imagine letting corporations dictate your immigration policy instead of the electorate. Sounds undemocratic.

I think that it's more likely that ASML will try and grow beyond the Netherlands. From what I know, the rising far-right leader won't care much about a tech company looking to expand over becoming a proud 100% Dutch company no matter what, and help the country to stay afloat once they leave the EU and stop using the euro

 

[Wirko]

For whatever it's worth:

Ludwig van Beethoven's grandfather moved, or migrated, from what was then the Netherlands (now Belgium) to Germany to advance his career in music.

So I would hope that the name "Operation Beethoven" alludes to the dog, not the composer and his ancestors.

 

[mechtech]

Back 40+ years there was no shortage of skilled labour here.

Companies would hire people right from school (even high school) and give them "apprenticeships" under well skilled/educated/experienced employees to pass along the information and learnings.

I find the issue now is companies want someone with 10+ years exp, with certs, etc. or wait until people retire before finding replacements and by then it's too late. Very few apprenticeships now compared to my dads young days.

 

[Fourstaff]

The amount of niche labour ASML need is extremely high. Certain skillsets will take decades to master, if ASML is only open to hiring Dutch workers instead of hunting internationally (for example, poaching from Taiwan), they going to open another branch in Taiwan just so that they can hire the right people at the right time.

For people who are of the "let's train our own people" - this mindset works quite decently in larger countries like US/India/China. If you have 18 mln people to choose from the probability of finding the right mix at the right time is very much impaired. That's before counting the competition within Netherlands itself: Airbus, Shell, Stellantis have operations in the country and they are hunting for same talents. Singapore famously imports everyone good to work there, and they are extremely successful (albeit crowded).

 

[Minus Infinity]

They should move to the US under the immigrant friendly Donald Trump. He will welcome them with open arms,

 

[ThrashZone]

Hi,
In the US most tech companies use hb-1 visas I believe to get people under what they could pay US people.
Guessing this is what the Netherlands is contesting.
US has plenty of talent but they want way to much in tech companies eyes.

 

[Flanker]

For expats relocating to the Netherlands, the housing crisis is still the largest concern. We are looking at up to 1/3 of the pretax salary to rent a place in a suboptimal location due to the lack of choices. And then it is basically a lottery to be chosen as a tenant.

 

[kondamin]

The Netherlands does not have a good history of vetting out spies

 

[LazyGamer]

Imagine letting corporations dictate your immigration policy instead of the electorate. Sounds undemocratic.

There is no shortage of skilled labor in EU. What corpos want is CHEAP labor.

 

[Noyand]

There is no shortage of skilled labor in EU. What corpos want is CHEAP labor.

The potential future leader of the Netherlands wants out of the EU, which would also make people from the EU immigrants.

 

[P4-630]

Update:

ASML to stay and grow in Eindhoven area, creating up to 20,000 jobs

Chip giant ASML is set to create up to 20,000 jobs with a potential expansion in Eindhoven, marking a major win for the Dutch tech industry. ASML's expansion plans will likely involve the Brainport Industries Campus (BIC) west of the city, a significant victory for the outgoing Cabinet's...

nltimes.nl