Since the unification of the EU market, companies are not bound to the size of individual national markets anymore, but can freely select the best location. In the new Europe, the best spot is not the location with the highest incentives or the lowest wages, as these tend to be located at the economic fringes. Moreover, incentives are only a one-time phenomenon, and low wages often have as a trade-off that workers are low-skilled.

Although companies have different preferences based upon their specific requirements, the best position for modern manufacturing is right in the economic center of Europe, with easy and fast access to customers. In many industries changes are occurring faster and faster, and 'time-to-market' is increasingly important. In this respect, the Netherlands has developed into one of the main manufacturing hubs of Europe.

Dutch manufacturing sectors include a wide range of products. The most important are (fine-) chemicals, food processing, rubbers and plastics, electronics, machinery and transportation equipment. These sectors also boast large networks of suppliers and subcontractors.

Companies that have selected the Netherlands for production mention as crucial determining factors:

the Dutch distribution infrastructure
the proximity to a wide range of markets
technical sophistication.

Other factors that contribute to making the Netherlands an attractive choice for manufacturing facilities are:

leadership in technology
availability of materials
a workforce that is productive, highly educated, and multi-lingual abilities