ASML'S EU REVENUE DROPS TO ZERO AS CHIP DEMAND STALLS

ASML, the world's sole supplier of extreme ultraviolet lithography systems, has seen its European business collapse despite the region's push for chip self-sufficiency. The Dutch company's revenue from European customers dropped to nothing over the first half of 2026, marking a sharp decline from previous years. The company's message to EU policymakers is clear: subsidizing fabrication plants alone won't work. ASML argues that Europe needs to create actual demand for chips produced on the continent to sustain a viable semiconductor ecosystem. The decline reflects broader challenges facing Europe's chip industry ambitions. While the EU has invested heavily in fab construction through initiatives like the Chips Act, the region lacks the manufacturing scale and consumer demand that drive semiconductor production in Asia and the US. ASML's warning underscores a critical gap in Europe's strategy: capital for plant construction means little without anchoring customers and sustained market demand for the output.