ASML (NASDAQ:ASML), a leading semiconductor production equipment manufacturer, has received the green light from the Netherlands' Council of State to proceed with its expansion plans at its headquarters in Veldhoven.

This decision comes after the highest administrative court in the country dismissed objections from two neighbors on Wednesday.

The objections raised concerned potential traffic and noise disruptions due to the new facilities.

However, the court found these concerns insufficient to halt or modify the project, which had already received approval from Veldhoven’s town council in 2022.

The court also addressed suggestions that the facilities could be built partly underground, explaining that such a construction approach was impractical.

The delicate nature of the machinery ASML assembles requires a stable environment, as even minor disturbances could cause significant damage.

The expansion in Veldhoven is aimed at addressing ASML's immediate growth needs.