ASML Faces Export License Revocation for Chip-Making Equipment Bound for China

ASML, a prominent chip machine manufacturer, has revealed that the Dutch government has partially revoked an export license related to the shipping of specific chip-making equipment to China. This decision comes as a consequence of recent export restrictions imposed by the United States.
ASML Holding chip businessASML, headquartered in Veldhoven, Netherlands, disclosed that the affected shipments encompass certain lithography systems crucial for chip manufacturing.

“The Dutch government has recently partially revoked the license for the shipment of NXT:2050i and NXT:2100i lithography systems in 2023, affecting a limited number of customers in China,” ASML said in a news statement.

ASML maintains a dominant position in the market for lithography systems, leveraging laser technology to facilitate the creation of chip circuitry.

Despite these developments, ASML affirmed that it does not anticipate a significant impact on its financial projections for 2023 due to these license alterations or the latest U.S. export control limitations.

ASML earlier said it expects Q4 2023 sales between €6.7 billion and €7.1 billion and a gross margin between 50 percent and 51 percent. ASML also earlier revealed its sales will grow towards 30 percent in 2023. ASML’s Q3 2023 revenue touched €6.7 billion with a gross margin of 51.9 percent.

China has emerged as a pivotal market for ASML, ranking as its largest market in the third quarter of 2023, surpassing Taiwan and South Korea. However, recent regulatory shifts have prompted scrutiny and challenges from Dutch lawmakers directed at the Netherlands’ Trade Minister concerning unilateral U.S. rules governing the export of another ASML chipmaking machine to China, Reuters news report said.

“In recent discussions with the US government, ASML has obtained further clarification of the scope and impact of the US export control regulations,” the semiconductor equipment manufacturer conveyed in a statement. “ASML is fully committed to complying with all applicable laws and regulations, including export control legislation in the countries in which we operate.”

Latest

More like this
Related

Intel secures $3 bn under CHIPS and Science Act for secure enclave program

United States said Intel Corporation has been awarded up...

NXP Semiconductors plans $1 bn investment in India

NXP Semiconductors CEO Kurt Sievers said the company will...

Infineon reveals breakthrough in 300 mm GaN technology

Infineon has announced a groundbreaking development in power semiconductor...

Tower Semiconductor and Adani Group to invest $10 bn in India

Israel’s Tower Semiconductor and the Adani Group will make...