Prime Minister Narendra Modi gets a warm welcome from the Indian community in the Netherlands, in Amsterdam, on Friday (May 15). Photo: X/@narendramodi
Modi in Netherlands: Why PM's Veldhoven visit is key to India's semiconductor project
PM Modi will interact with the top executives of ASML, a global leader in semiconductor lithography
Prime Minister Narendra Modi arrived in the Netherlands on Friday (May 15) on the second leg of his five-nation tour. While Modi will deepen bilateral cooperation with the leaders of the European country in areas such as trade, technology, defence and renewable energy, his visit is seen particularly crucial for India’s semiconductor journey.
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Modi’s visit to Veldhoven
India and the Netherlands have significantly expanded cooperation in recent years beyond traditional sectors such as trade, investment and the priority areas of water, agriculture and health.
The partnership has grown in strategic sectors, including technology, innovation, defence, security, semiconductors, renewable energy, education and the maritime domain, the MEA said in a statement.
Modi is set to visit Veldhoven, a municipality and town in southern Netherlands, and it is a significant trip as one company headquartered there holds the key to India’s semiconductor project.
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The multinational company is ASML, one of the world’s leading manufacturers of chip-making equipment. It designs and manufactures the lithography machines that are an essential component in chip manufacturing. Lithography systems serve as the foundation, using light to print intricate patterns on silicon wafers with nanometer precision.
In fact, ASML reportedly holds a 100 per cent monopoly in producing Extreme Ultraviolet (EUV) lithography, which is required to print chips at 7-nanometer nodes and below. Thereby, ASML enables practically every chip manufactured in the world.
Modi will interact with the top executives of ASML, according to a report in Economic Times. India's dream of becoming a global chip manufacturing superpower essentially depends on creating and maintaining goodwill with this single Dutch enterprise and its supply chains.
ASML’s commitment to India
Last year, ASML attended SEMICON India 2025 for the first time, emphasising its commitment to supporting India’s growing semiconductor industry. Its entire senior leadership team participated in SEMICON India, where they expressed a strong interest in becoming a partner in India’s semiconductor journey.
The company showcased its holistic lithography portfolio, which integrates lithography systems, computational software, metrology, and inspection solutions.
India’s semiconductor market projection
“India’s semiconductor market is projected to exceed USD 55 billion by 2026 and USD 100 billion by 2030, fuelled by strong demand in smartphones, automotive, and 5G IoT, alongside strong government support. ASML’s advanced lithography technologies are well-positioned to help Indian chipmakers produce smaller, more powerful chips while improving yield and performance, enabling cost-effective, high-volume production,” the company said last year after attending SEMICON India.
Christophe Fouquet, President and CEO of ASML, said at SEMICON India: “India has been showing progress in developing its ambitions in the semiconductor industry with investments, a strong talent pool and clear support from the government. We welcome India’s vision as it will strengthen the global industry. ASML is participating in SEMICON India for the first time. We look forward to learning more about India’s semiconductor industry, establishing new relationships and preparing opportunities.”
Emerging fabs in India could leverage holistic lithography for smoother capacity ramps and access to scalable, future-proof technologies that enable innovation and competitiveness, ASML said.
Vaishnaw’s visit to ASML
In January this year, Union Minister for Electronics and Information Technology, Ashwini Vaishnaw visited ASML in Veldhoven. He emphasised that ASML coming to India would be a significant development.
Speaking during the visit, the minister stated India had initiated a new semiconductor industry and that lithography was the most complex and precision-intensive process in the entire semiconductor manufacturing chain.
“Our fab (fabrication plant) in Dholera (Gujarat) will be using ASML equipment. So I have come here to visit and understand their technology,” Vaishnaw had said.