Brabant suppliers ASML are looking at factories outside China

Suppliers of chip machine maker ASML may want to build new factories in Asia, outside of China. This is what the Reuters news agency writes based on insiders and documents from the Brabant Development Agency (BOM). The reason is tensions between China and the West, as a result of which ASML is no longer allowed to export chip machines to China.

The BOM is organizing a trip to Vietnam, Malaysia and Singapore next week. Twelve companies are participating. These are almost all suppliers of ASML. “The majority of these companies are coming along because they are thinking about setting up or expanding production locations in Vietnam or Malaysia,” wrote the BOM and Brainport Eindhoven.

According to the insiders, the possible new production locations are related to tensions. These tensions mean, among other things, that ASML is no longer allowed to supply its chip machines to China.

In addition to production locations, the companies are also looking at locations for a regional head office. Singapore would be an option for Neways and a part of VDL, both Eindhoven companies, among others.

Official ban
Last week it was officially announced that ASML is now also no longer allowed to supply some of its older types of semiconductors to China. Weeks earlier it had already been leaked that the Netherlands and the United States had reached an agreement on this. These are DUV machines.

ASML’s most modern machines, the so-called extreme ultraviolet devices (EUV), were already not allowed to go to China. According to the United States, China can use the chip technology for the production of weapons.

READ ALSO: Older ASML chip machines are also not allowed to go to China, a government ban

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