ASML will increase revenue to €60 billion by 2030, even if it stops exporting equipment to China completely

In mid-autumn the United States expanded restrictions on exports to China of equipment of third countries, which allows to produce a certain range of products. ASML company has already stated that even a complete loss of the Chinese market will not affect its financial performance.

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The Dutch manufacturer of lithographic equipment for the production of flash memory, microchips and integrated circuits said that even if it completely stops exporting to China its revenues will reach €40 billion by 2025 and €60 billion by the end of the decade.

The company's management believes that the new restrictions announced by the U.S. in October could result in a loss of no more than 5% of revenue. General Director of ASML, Peter Wennink said in a conversation with investors that in case of complete exclusion of the Chinese market, other areas can fully compensate for the loss.

He also added that the desire of some countries to ensure their technological sovereignty would also have a positive impact on ASML business, because they would need new equipment to achieve their goals. Here Peter Wennik primarily had in mind the United States, which is ready to invest tens of billions of dollars in the development of domestic production of semiconductors.

As for the new restrictions on exports to China, they did not affect ASML. This is due to the fact that the Dutch authorities banned the supply of advanced lithographic equipment three years ago.

Source: Bloomberg

Image: Reuters