According to Neowin , sources said that the administration of US President Joe Biden has contacted ASML directly in recent months to request a halt to the shipment of some deep ultraviolet (DUV) lithography systems to Chinese customers.
New restrictions make it difficult for China to produce advanced chips
The canceled shipments come ahead of new Dutch export restrictions on such technology coming into effect on January 1. ASML said its license to ship the system to China in 2023 was “partially revoked” by the authorities recently.
While it is believed to affect a small number of customers, the company said it is discussing export control regulations with the US, although it did not provide details on how many machines are affected.
In recent discussions with the US government, ASML has provided further clarification on the scope and impact of export control regulations. The company is fully committed to complying with all applicable laws and regulations, including export control laws, in the countries in which it operates.
The move is part of a US effort to curb China’s ambitions to develop an independent, advanced semiconductor industry. Shares of Chinese chipmakers, including SMIC and Hua Hong Semiconductor, fell slightly after the decision was made.
China is a key market for ASML, accounting for 46% of its revenue last quarter as customers rushed to import DUV lithography machines before the new restrictions took effect. But the US is pressuring allies like the Netherlands to deny China access to key chipmaking tools. Outgoing ASML CEO Peter Wennink said the tightened restrictions could cut the company’s sales to China by as much as 15%.
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