The rise of the AI industry and increasing defense spending are a double-edged sword for the Dutch printed circuit board industry, according to a report by ABN Amro. The roughly sixty Dutch companies active in the electronics manufacturing services (EMS) sector can benefit from growing demand from data centers and defense, but only if they can transform their business model toward a high-complexity, any-mix paradigm.
Large Dutch players such as Neways, Prodrive Technologies and VDL TBP have the scale and financial resources needed to make that transition. For many smaller EMS companies, however, the shift will be far more challenging. Companies unable to invest in new technologies will need to focus on niche markets or join larger groups. ABN Amro therefore expects a wave of mergers, acquisitions and strategic partnerships.
