Chip industry giant ASML blocked by US, Netherlands from shipping equipment to China ahead of export deadline

The maker of critical lithography systems said a licence to export some machines to China was partially revoked, but does not expect an impact on bottom line

The Chinese Foreign Ministry slammed the ‘hegemonic and bullying behaviour’ of the US and urged the Netherlands to uphold fair market principles

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Published: 9:00pm, 2 Jan 2024

Dutch chip-making equipment manufacturer ASML was forced to cancel some shipments to China after having licences partially revoked, in a blow to the mainland’s apparent efforts to stockpile related technology ahead of new restrictions.

“A licence for the shipment of NXT:2050i and NXT:2100i [deep ultraviolet (DUV)] lithography systems in 2023 has recently been partially revoked by the Dutch government, impacting a small number of customers in China,” the company said in a statement on Monday.

On Tuesday, Chinese Foreign Ministry Spokesman Wang Wenbin condemned the “hegemonic and bullying behaviour” from the US, urging the Netherlands to uphold fair market principles and honour its contractual obligations.

Under US pressure, ASML already restricts Chinese clients from buying its more advanced extreme ultraviolet (EUV) lithography systems, which are used to produce the world’s most cutting-edge chips. ASML has a near monopoly on the machines.

China’s Ministry of Foreign Affairs spokesperson, Wang Wenbin, gestures during a press conference in Beijing on January 2, 2024, where he discussed the suspension on some exports of Dutch company ASML to China. Photo: EPA-EFE

However, from September, the Dutch equipment maker had been able to apply for licences to ship some of its less advanced DUV systems to China ahead of new restrictions that came into effect on January 1. The Dutch manufacturer received three such licences.