In a significant policy shift, the Dutch government announced on Friday that it will extend export licensing requirements to include specific ASML tools, effectively reclaiming oversight previously controlled by the United States. This decision marks a key step towards aligning the export control policies of the two nations.
The tools in question, ASML’s 1970i and 1980i deep ultraviolet (DUV) immersion lithography machines, are pivotal in chip production and fall mid-range within ASML’s product lineup. The U.S. had previously regulated these tools unilaterally as part of its strategy to curb China’s access to advanced semiconductor technologies, aiming to slow Beijing’s military and technological progress.
ASML, a Dutch-based company and global leader in semiconductor manufacturing equipment, indicated in a statement that this change in export oversight is not expected to affect its financial performance, either in the short term or moving forward.
“This decision is about safeguarding our national security,” Dutch Trade Minister Reinette Klever said, emphasizing the government’s position. “Technological advancements have increased the risks associated with exporting these specific production machines.”
The move follows ongoing negotiations between the U.S. and the Netherlands over their export policies. Friday’s decision is seen as a pragmatic step that may ease tensions between the two governments, which have been grappling with the balance between national security and international trade.
The issue of ASML’s exports to China has been a point of contention. While the Netherlands, under U.S. pressure, has never allowed the export of ASML’s most advanced extreme ultraviolet (EUV) lithography tools to China, it introduced licensing requirements in September 2023 for high-end DUV tools, including the NXT:2000 series and above.
ASML had warned its Chinese customers in late 2023 that these machines would no longer be available from 2024 onward. However, in October 2023, the U.S. took the additional step of restricting the shipment of ASML’s 1970i and 1980i tools, citing the inclusion of U.S.-made components in the machines.
This unilateral action by the U.S. raised concerns within the Dutch parliament regarding national sovereignty and the ability of the Netherlands to control its own export policies. Meanwhile, ASML found itself navigating the complex regulatory environment, juggling separate licensing requirements from both the U.S. and the Netherlands.
The Dutch government’s decision to reclaim oversight of these tools is seen as a significant step in reasserting its authority over critical technology exports, while still maintaining close cooperation with its U.S. ally.
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