ASML Pushes 30% Expansion of Production Capacity, Sparking Hope for Europe's First 1-Trillion-Dollar Company

ASML, Europe's leading semiconductor equipment firm, raised its 2026 revenue forecast to 430-450 billion euros and announced a 30% expansion of production capacity over two years, fueling expectations for Europe's first 1-trillion-dollar company. The plan aims to alleviate AI semiconductor supply chain bottlenecks, as ASML supplies EUV lithography equipment to TSMC, Samsung, and SK Hynix. The company reported strong Q2 results, with 9.3 billion euros in revenue and a 54% gross margin. ASML plans to increase EUV annual capacity from 65 to 85 units by 2027 and expand DUV immersion equipment capacity to 170 units. However, challenges remain, including U.S. export controls and Chinese market competition, while SEMI forecasts global semiconductor equipment revenue to reach $1.659 trillion in 2026.