Dutch Align With US Export Controls on Some ASML Chip Tools

Bloomberg
01-15

The Netherlands tightened export control rules to make ASML Holding NV apply for licenses with the Dutch government instead of Washington for some of its tools.

The new rules, released on Wednesday, apply to the export of specific measuring and inspection equipment made by Dutch semiconductor gear makers like ASML and ASM International NV, and will come into effect on April 1.

Although the Dutch announcement doesn’t reference US export controls, the measures align with those published by Washington in December, said people familiar with the matter, who asked not to be identified discussing a private matter. The US updated its list of restricted technologies to include metrology and software. It also placed restrictions on further chip factories, mainly in China.

An ASML spokesperson said the company expects no additional impact from updated Dutch rules. In December, the firm said the latest US measures would have an impact on its 2025 sales but not affect its long-term targets.

ASML, which is the world’s only producer of cutting-edge lithography machines needed to produce high-end chips used in everything from electric vehicles to military gear, has never been able to sell its most-advanced extreme ultraviolet lithography machines to China because of US-led export restrictions.

Last year, the Dutch government also restricted immersion deep ultraviolet lithography systems to China after pressure from the Biden administration. DUV is the next most sophisticated chip-making equipment after EUV machines.

The US government has been pushing the Netherlands and other allies for sweeping export controls on China with the goal of limiting development of its chip sector, in the name of national security.

China accounted for €2.79 billion ($2.9 billion) of ASML’s sales in the third quarter, nearly half of its total. The company expects China sales to account for about 20% of total revenue this year. US pressure on ASML to further restrict sales of semiconductor technology to Beijing will likely grow, Chief Executive Officer Christophe Fouquet said in an interview with Bloomberg in October.

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