U.S., Dutch set to hit China's chipmakers with one-two punch

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U.S., Dutch set to hit China's chipmakers with one-two punch
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The United States and the Netherlands are set to deliver a one-two punch to China's chipmakers this summer by further restricting sales of chipmaking equipment.

Netherlands Prime Minister Mark Rutte speaks with U.S. President Joe Biden, on June 29, 2022. The U.S. has been putting pressure on the Netherlands to block exports to China of high-tech semiconductor equipment.The United States and the Netherlands are set to deliver a one-two punch to China's chipmakers this summer by further restricting sales of chipmaking equipment, part of the countries' ongoing effort to prevent their technology from being used to strengthen China's military.

China's commerce ministry said at the time that it opposed the new U.S. rules, which also implemented other controls, including restricting certain high-end chips. The ministry said they hurt the normal trade and economic exchange between companies in the two countries and threatened the stability of global supply chains.rules to restrict exports of 23 types of semiconductor manufacturing equipment that will take effect July 23.

But the company's older DUV models, like one called the TWINSCAN NXT:1980Di, could also be kept from about six Chinese facilities by the U.S. The facilities are expected to be identified in a new U.S. rule that will allow the U.S. to restrict foreign equipment with even a small percentage of U.S. parts to those sites, according to a person familiar with the matter. The person was not authorized to speak publicly.

The U.S. rule is expected to apply to ASML, the world's leading chip equipment maker and Netherlands' largest company, because its systems contain U.S. parts and components.

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