With new export rules, the USA wants to restrict the export of chip manufacturing machines to China. Some allies, including the Dutch ASML, will receive an exception.

The US wants to limit the export of high-tech equipment and chips to China. The idea behind it is to promote the lead of the West (especially America) in the development of modern microchips. Under pressure from the US, Japan and the Netherlands agreed last year to stop the export of chip devices to China. Now, a year later, the US appears to be making exceptions in the new export regulations for these allies, Reuters sources report.

Exporting to China

The Biden administration plans to announce new rules for chip equipment exports next month. With these chip export rules, they want to expand the US’s powers and restrict the export of semiconductor production equipment from some other countries to Chinese chipmakers. The US wants to strengthen its position in the semiconductor market and limit its dependence on China.

Last year, under pressure from the US, some important countries in the chip industry agreed to stop exporting high-tech equipment to China. For example, the Dutch government banned ASML from selling so-called deep-UV machines.

Exceptions

According to Reuters sources, there will be an exception for those allies that export important equipment for chip production. This concerns Japan, South Korea and the Netherlands. This means that Veldhoven-based chip equipment manufacturer ASML will not be affected.

Since the news was announced, the shares of these companies have risen sharply. The US government has not yet confirmed the measures. The new regulation is expected to be announced in August.