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United Stated pushes Dutch ASML company out of China



An export license for chip machine manufacturer ASML to China was suspended by the Netherlands following strong pressure from the United States.



06.Jan.20 11:47 AM
By Shawn Highstraw
Photo toinnov.com

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United Stated pushes Dutch ASML company out of China
An export license for chip machine manufacturer ASML to China was suspended by the Netherlands following strong pressure from the United States. Reuters news agency reports based on insiders. It concerned a license for the delivery of the most modern chip machines from the Dutch company.

The issue revolves around so-called EUV machines, which enable the production of faster microprocessors and memory chips. The Netherlands granted ASML a license in 2018 for export of the expensive equipment to a Chinese customer, but did not renew it last year.

That decision followed pressure from the Americans, insiders say. The ASML delivery was discussed during Prime Minister Mark Rutte's visit to the White House last summer. Rutte would also have seen a confidential American report about the possible consequences of the technology in the hands of the Chinese.

The Americans initially tried to block the sale of the equipment itself, but this proved impossible. Dutch and American officials reportedly discussed the issue at least four times.

In the autumn of 2019, the Japanese business newspaper Nikkei Asian Review already reported that ASML had suspended the delivery of the machines to the Chinese Semiconductor Manufacturing International (SMIC). The Veldhoven company itself does not want to confirm the name of that customer, but says it is still waiting for an export license for China.

EUV machines are covered by the so-called Wassenaar Arrangement. This agreement between dozens of countries limits the export of weapons to certain countries, but also of modern technology that can be used for military purposes. For its export, approval from The Hague is therefore required first.



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