ASML, the world’s only supplier of EUV lithography systems, reported selling “absolutely nothing” in Europe in 2026, according to Frank Heemskerk, the company’s executive vice president of public affairs. Europe’s revenue share fell to 0% in the first two quarters of 2026, down from 1% in 2025 and 5% in 2024.
Heemskerk attributed the decline to lack of semiconductor fab construction in Europe. “There simply is no demand here for these kinds of highly specialized machines,” he said during a panel discussion at De Balie in the Netherlands. “Europe is not investing and because no chip factories are being built in Europe.”
ASML is calling on the European Union to shift strategy. Rather than relying solely on subsidies to attract fab construction—an approach that failed to lure Intel—the company argues the EU should help aggregate and guarantee demand for European-made chips. This would give chip consumers economic incentive to source locally, encouraging manufacturers to build or expand facilities in Europe.
“We need to make sure that some of those buyers…start talking much more closely with European manufacturers again,” Heemskerk said, pointing to artificial intelligence for industry as an area with opportunities.
However, the source text notes that several fab projects are underway in Europe. Intel is investing €5 billion to expand its Fab 34 in Ireland. ESMC, backed by TSMC, Bosch, Infineon, and NXP, is building a €15 billion facility near Dresden. Infineon opened a €5 billion Smart Power Fab in Dresden in July 2026, and GlobalFoundries began upgrading its Fab 1 in Dresden in March.
The catch: none of these European fabs are leading-edge facilities using EUV lithography. They produce mature-node chips at lower cost. Additionally, advanced silicon produced in Europe is often shipped elsewhere for packaging and assembly, meaning European companies cannot produce sophisticated chips entirely within Europe. This raises questions about whether creating demand for “Made in Europe” chips makes strategic sense when production chains remain incomplete.
Key facts
- ASML earned 0% of revenue in Europe during the first two quarters of 2026, down from 1% in 2025 and 5% in 2024
- The company attributes the decline to lack of chip fab construction in Europe
- ASML is calling on the EU to create demand for European chips rather than relying solely on fab subsidies
- Several fab projects are underway in Europe, but none use advanced EUV lithography technology
- European fabs often ship advanced chips elsewhere for packaging, keeping production incomplete within Europe