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Brabant HTSM sector is "the powerhouse that can keep the whole of the Netherlands out of the crisis"

Impact story
High Tech Systems and Materials (HTSM) is the sector that has put Brabant on the map for 100 years. Over the years, a complete value chain has been built around it, with Brainport Eindhoven as the central location. It has become an industry that the whole world depends on: without Brabant, no chips in your smartphone. "This unparalleled magnet has the power to pull our country out of the crisis again - and keep it there," says director Brigit van Dijk - Van de Reijt of the Brabant Development Agency (BOM).
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The Brabant Development Agency (BOM) conducted an extensive study into the status of the HTSM sector in Brabant. It provides a detailed overview of the sector, including the strengths, risks, and opportunities that the region has to offer. Read the full report here. 

Brabant has a long and world-renowned track record in advanced machinery and complex systems. The ecosystem is built around an industrial cluster with top players like Philips, ASML, NXP, VDL, and DAF Trucks.

Furthermore, the various campuses and knowledge institutions play a role, as does the high-tech supplier network of Brainport Industries, a cooperative of 110 companies with a strong concentration in the south.

Not self-evident

The current COVID-19 pandemic and recent geopolitical developments have shown that nothing is self-evident. Additionally, the world faces serious societal challenges: think of the energy transition and the affordability of healthcare.

Realizing that Brabant is one of the most advanced manufacturing hubs in the world, the HTSM sector primarily sees these developments as an opportunity to once again showcase its strength to the world. Here, the constructive collaboration culture in Brabant can add value for everyone in the ecosystem, continuing to make a difference in an extremely competitive world.

Talent, internationalisation, and financing

Crucial in this game are talent development, international cooperation, and targeted financial instruments. In all three of these areas, there is still work to be done, adds Frits Hoeve, Senior Project Manager HTSM at the BOM. “Training, attracting, and retaining talent, also internationally, remains a sensitive issue for our ecosystem. A lot of specialized knowledge is needed at all educational levels. Only with an integrated approach involving all stakeholders can we as a region maintain our competitive edge and address societal challenges. This is how we succeed in identifying and purposefully engaging the strategic international parties that can contribute to this ecosystem.”

Targeted actions

The BOM research reveals that the sector could function even better with a number of targeted actions - and thus provide the desired economic and societal solutions even faster. This concerns:

  • Risk-bearing capital in the most risky development phases of companies that develop and want to roll out new technologies, in order to retain high-tech business activity for the Netherlands and remain competitive at a global level.
  • Better coordinated government support at all levels, based on sharper choices and substantial long-term resources. The support is currently too fragmented and incidental; governments need to join forces to elevate the HTSM sector to an even higher level. This also means interdisciplinary consultation between the departments of Economic Affairs, Education, Culture & Science, Finance, Domestic Affairs, and Justice.
  • Proportionally the same national support as other mainports for infrastructure and (cultural) facilities.
  • No cuts in innovation subsidies and incentive packages from the Ministries of Finance and Economic Affairs and Climate Policy.

The Brabant HTSM sector is worth the investment, says Frits Hoeve. "In Brabant, every component, every conceivable machine, every possible integrated system can be invented, designed, developed, produced, assembled, marketed, commercialized, and - if necessary remotely - maintained. This makes the sector the key to addressing and solving all the major challenges the world currently faces."

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