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ASML to Ship Top Tech to China Even as Dutch Chip Ban Starts

The company said it will continue to ship the products in its NXT:2000i and more advanced DUV models, which fell under the restrictions that started on Friday

Employees work to assemble ASML's Twinscan NXE3400B chip lithography tool in Veldhoven
Employees with ASML's Twinscan NXE3400B chip lithography tool in Veldhoven. Photo: Reuters.


ASML, one of the world’s biggest suppliers to semiconductor companies, will continue to ship advanced chipmaking tools to its Chinese customers, even as Dutch restrictions on exports of chip tech go into effect starting today.

The chip equipment-maker said it had received licences from the Dutch government to export some of its advanced tools to customers in China up to the end of the year.

Europe’s largest technology firm by valuation, ASML dominates the market for lithography equipment. But under a licensing regime introduced in June, it will need government approval to export some of its most sophisticated technology.


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The new regime follows an agreement between the Netherlands and the United States, as the Biden Administration seeks to slow down Beijing’s ability to make its own chips.

Lithography equipment uses tiny beams of light to help create the circuitry of chips. Lithography machines using lightwaves in the deep ultra-violet light spectrum, or “DUV” machines, are ASML’s second tier product line.

The company’s most advanced ‘extreme ultra-violet’ or EUV, machines have never been sold to Chinese customers.


Fulfilling ‘contractual obligations’

A spokeswoman for the company said ASML will be able to continue to ship the products in its NXT:2000i and more advanced DUV models, which fell under the restrictions starting Friday, for the remainder of 2023.

In a statement to Chinese state media China Daily, ASML said it would allow the chip equipment-maker “fulfill our contractual obligations to our customers.”

“Our customers are aware of the export control regulations so they know that as of January 1, 2024 it is unlikely we will receive export licences for these systems for shipment to domestic Chinese customers,” a spokesperson for the company said.

Meanwhile, China’s Commerce Ministry spokeswoman Shu Jueting urged the Netherlands to “uphold an objective and fair stance, and abide by the spirit of contracts and international rules,” according to the China Daily report.

She added that Beijing was maintaining dialogue on chip export controls and hoped that “all parties, including the Netherlands, will safeguard the legitimate rights and interests of enterprises.”


    • Reuters, with additional inputs from Vishakha Saxena


Also read:


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Chinese Envoy Warns US: More Chip Bans and We’ll Hit Back


US Chip Sanctions Have Hardly Impacted China’s AI Capability


Chinese Tech Giants Rush to Buy Nvidia’s Top AI Chips – FT


China Warns Dutch of ‘Consequences’ to Chip Tech Ban – SCMP


Vishakha Saxena

Vishakha Saxena is the Multimedia and Social Media Editor at Asia Financial. She has worked as a digital journalist since 2013, and is an experienced writer and multimedia producer. As a trader and investor, she is keenly interested in new economy, emerging markets and the intersections of finance and society. You can write to her at [email protected]


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