Dutch Government Imposes Export Restrictions on ASML’s “Most Advanced” Microchips

In order to protect their national security, the Dutch government has declared that they will be limiting the export of their “most advanced” microchip technology, mirroring the steps taken by the US government. ASML, a major player in the international microchip supply line, will be subject to limitations.[0] China has lodged a formal grievance regarding the situation and has cautioned the Netherlands against “follow the abuse of export control measures by certain countries”.[1]

In order to protect national security, the Dutch government has announced it will impose limits on the exportation of the nation's “most advanced” microchips, mirroring a similar decision made by the United States. Today, Minister Schreinemacher of Foreign Trade and Development Cooperation made a declaration.[2] She addressed the issue of “national additional export control measures of advanced semiconductor production equipment.” in her speech.[2] The use of extreme ultraviolet (EUV) machines had already been prohibited, and the same now stands for the slightly less advanced deep ultraviolet (DUV) machines.[2]

The new export control measures include the most advanced deep ultraviolet (DUV) machines, which are part of ASML's advanced chips printers portfolio.[3] Since 2019, the Dutch firm, the highest-valued tech company in Europe, has not been granted export licenses for selling its most sophisticated machines featuring extreme ultraviolet light (EUV) technology to China.[4]

ASML is a major player in the worldwide microchip supply chain.[5] The company said in a statement that only their “most advanced” immersion lithography tools are affected by the export controls. ASML states that the controls are not applicable to all immersion lithography tools, but only to those that are classified as “on a case-by-case basis, based on these three principles.” However, they have yet to receive more details concerning this precise definition.[6]

In a letter to Dutch legislators, Foreign Trade Minister Liesje Schreinemacher expressed the government's desire to stop Dutch technology from being employed in military systems or weapons of mass destruction. The goal is to “on a case-by-case basis, based on these three principles.”[4] The review of applications for export licenses will be conducted individually, in accordance with the three following principles.[7]

ASML has released a statement in response to the new export controls announcement, stating “It will take time for these controls to be translated into legislation and take effect … we do not expect these measures to have a material effect on our financial outlook.[8]

0. “The Netherlands says it will join the US in restricting chipmaking-tool exports to China” TechSpot, 9 Mar. 2023, https://www.techspot.com/news/97870-netherlands-join-us-restricting-chipmaking-tool-exports-china.html

1. “Dutch government to restrict exports of advanced microchip t…” MENAFN.COM, 9 Mar. 2023, https://menafn.com/1105740930/Dutch-government-to-restrict-exports-of-advanced-microchip-technology-to-protect-national-security

2. “After months of mounting pressure from the United States, the Dutch government forces ASML into new export …” Innovation Origins, 8 Mar. 2023, https://innovationorigins.com/en/after-months-of-mounting-pressure-from-the-united-states-the-dutch-government-forces-asml-into-new-export-restrictions-on-china/

3. “Dutch government blocks sales of chip printing machines to China” Fudzilla, 9 Mar. 2023, https://fudzilla.com/news/56480-dutch-government-blocks-sales-of-chip-printing-machines-to-china

4. “The Netherlands to block export of advanced chips printers to China” POLITICO Europe, 8 Mar. 2023, https://www.politico.eu/article/netherlands-impose-restrictions-chips-export-to-china-asml

5. “Netherlands joins US to restrict some chip exports” msnNOW, 9 Mar. 2023, https://www.msn.com/en-us/news/world/netherlands-joins-us-to-restrict-some-chip-exports/ar-AA18opuN

6. “Dutch govt's ban may ‘severely' disrupt global chip market” China Daily, 9 Mar. 2023, https://www.chinadaily.com.cn/a/202303/09/WS6409da56a31057c47ebb35cb.html

7. “Netherlands confirms it will restrict more ASML exports to China” NL Times, 8 Mar. 2023, https://nltimes.nl/2023/03/08/netherlands-confirms-will-restrict-asml-exports-china

8. “China's Cutting-Edge Chip Dreams Just Died” PCMag, 9 Mar. 2023, https://www.pcmag.com/news/chinas-cutting-edge-chip-dreams-just-died

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