Christophe Fouquet, the general director of ASML, has a huge challenge ahead. Like its predecessor at the head of this Dutch company, Peter Wennink, has the obligation to Defend your company’s interests. And currently the tension held by the US and China does not make it easy. The sanctions that They have deployed US and the Netherlands They prevent Asml selling Your most advanced lithography teams To its Chinese clients. And neither can some maintenance and after -sales services services provide.
In 2022 the sales of this company in China amounted to 2.9 billion euros, which represented 13.8% of its annual sales. At that time Taiwan was a more important market for Asml than China. In fact, in 2023 the clients of the island bought lithography equipment for a total value of 8,100 million euros, while its Chinese clients disbursed 7.3 billion euros. And, curiously, in 2024 China was consolidated as The largest market for ASML with total sales of 10.2 billion euros.
Christophe Fouquet’s warning does not concern Asml
In the Netherlands 2024 will be remembered as the year in which the strap between ASML and the Dutch government reached its maximum expression. Christophe Fouquet He is convinced that the US will continue to put pressure on its partners to tighten the sanctions that seek to stop the development of the Chinese industry of the integrated circuits. In fact, according to the British weekly The Economistthis executive argues that European politicians and regulators should do more to help their company.
“Europe should decide for itself what you want (…) should not be dictated by anyone else”
However, Fouquet’s statements do not end here. He has also defended that Europe “should decide for itself what you want” and “should not be dictated by anyone else.” Otherwise, He has warnedleading European companies in strategic technologies, among which are ASML, could consider move outside the old continent. His tone reflects a certain degree of helplessness, but in practice his company would be very difficult to relocate out of Europe.
On the one hand its supply chain is mostly deployed in this continent. And, in addition, the US will continue to exercise control of the American patents used by ASML regardless of the place where it resides. Christophe Fouquet’s discontent is evident, but it does not seem to have much room for maneuver. At this juncture his only hope is the Government of the Netherlands. In fact, the Dutch administration is fully aware that it cannot let its most important technology company leave its country of origin.
This possibility triggered the launch in March 2024 by the government that was then led by Mark Rutte of the ‘Operation Beethoven’. This plan is still underway. And in a better way than ever. It will finally collect 2.5 billion euros with the purpose of improving homes, transport, education and electricity supply of the Eindhoven region, which is very close to Asml’s headquarterswhich is housed in Veldhoven. Although, curiously, ASML and Philips will contribute contributing with other Dutch technology companies 230 million euros to this plan. It does not sound bad, but it seems unlikely that this initiative is sufficient to content Asml.
Image | ASML
More information | The Economist
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