ASML's European revenue share dropped to 0% in Q1 and Q2 2026, down from 1% in 2025 and 5% in 2024; ASML is urging EU authorities to create demand for EU chips

Demand for advanced chip manufacturing equipment in Europe has evaporated, impacting future fabrication capacity.

ASML, the sole global supplier of EUV lithography systems, reported a significant drop in European revenue share, falling to 0% in the first two quarters of 2026. This marks a steep decline from 1% in 2025, 5% in 2024, and 4% in 2023. The company attributes this near-zero revenue from Europe to a lack of investment and the absence of new chip factory construction on the continent. ASML's executive vice president of public affairs, Frank Heemskerk, expressed concern over this trend and urged EU authorities to actively stimulate demand for European-produced chips. He noted that while subsidies for fabs exist, they have not translated into orders for ASML's advanced lithography equipment.

The dramatic decrease in ASML's European revenue share, hitting 0% in early 2026, signals a critical failure in the EU's strategy to bolster its domestic semiconductor industry. Despite investments and subsidies, the lack of new fab construction and, consequently, demand for leading-edge lithography tools suggests a potential overreliance on external markets for chip production. ASML's call for demand creation highlights a disconnect between policy goals and market realities, potentially leaving Europe behind in the global race for chip independence.

This situation raises concerns about the long-term competitiveness of the European semiconductor ecosystem. If ASML, a key enabler of advanced chip manufacturing, is not seeing orders in Europe, it suggests a broader issue with the region's ability to attract and sustain cutting-edge chip production. Future chip development and manufacturing capabilities within the EU could be significantly hampered if this trend of low domestic demand for essential equipment continues, impacting innovation and supply chain resilience.