VDL Enabling Technologies Group (VDL ETG), a Dutch contract manufacturer for high-tech capital equipment, opened a new building in Jurong on Monday (2 Jun), and plans to invest S$100 million to grow its operations here over the next five years.

Located in the Pioneer area, the new 20,000 square-metre building, named SQ1, houses an office block, warehousing and logistics space, and cleanroom manufacturing space.

In a statement, VDL ETG Singapore said the office block would be the main “brain” – where its employees from teams, including engineering, manufacturing, technology development, and supply chain, would come together to collaborate and innovate.

This is so that the company can meet the current and future demand of customers and tackle challenges to enable the growing demand of the semiconductor wafer fab equipment industry.

VDL ETG Singapore, which aims to grow its revenue from the current S$400 million to S$1 billion in the next five to six years, is supported by Singapore’s Economic Development Board (EDB) and JTC Corporation (JTC).

VDL ETG Singapore currently employs about 800 staff. Over the next few years, it seeks to hire over 400 people in areas such as systems design and development, manufacturing, end-to-end supply chain management, and administration.
 

Speaking at the opening ceremony of SQ1, EDB managing director Jermaine Loy said the facility’s opening reflects “the close relationship” between Singapore and the Netherlands as both countries mark 60 years of bilateral relations this year.

“VDL’s continued investments in Singapore reflect not just its trust and confidence in Singapore’s stable business environment, but also its commitment to do more here,” he added.

VDL ETG Singapore is the key contract manufacturer that supplies key modules to the local factories of the original equipment manufacturers of key wafer fab equipment.

The company also works with these factories in areas such as surface treatment, product cleaning, and precision part fabrication.

VDL ETG Singapore said in its statement that the launch of SQ1 paves the way for the company to develop new equipment such as precision-engineering tools and automated systems to enhance semiconductor production capabilities.

The equipment enables manufacturers to achieve higher yields and better quality control, leading to more reliable and efficient production processes.

VDL ETG Singapore’s managing director Chiam Sing Chung said: “The company’s latest expansion at the SQ1 facility not only signals investment in infrastructure, it reflects a deliberate and strategic partnership with local suppliers, aimed at creating a smarter, more resilient manufacturing ecosystem.”

In his speech, EDB’s Loy noted that advanced manufacturing is crucial to Singapore’s economy, as it contributes nearly 20 per cent to the city-state’s gross domestic product.

He added that the semiconductor industry accounts for 6 to 7 per cent of GDP and employs some 35,000 people. About one in 10 chips, and one in five units of semiconductor equipment produced globally every year is made in Singapore.

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