Bloomberg: US pushes for more restrictions on ASML

The US government is urging the Dutch government to impose more restrictions on Weldoven chip machine maker ASML's trade with China. Bloomberg News reports this based on insiders.

According to Bloomberg, the Americans want ASML to be barred from carrying out maintenance and repair work on some equipment purchased by Chinese customers.

It concerns specialized equipment that was previously subject to restrictions, meaning ASML is no longer allowed to sell it to China. According to the United States, Chinese customers who had already purchased machines prior to those restrictions will now be unable to call ASML for maintenance.

Spokesmen for ASML and the Dutch government declined to comment to Bloomberg News. The US Commerce Department also declined to comment.

Military objectives

The US has long been concerned that China is using Western chip technology for military purposes. After urging from the United States, the Dutch government further restricted ASML's exports last year. Initially, the company was only allowed to sell its advanced machines to Chinese customers, but some types of older-generation chip machines were also included.

However, according to insiders Bloomberg spoke to, there are still some holes in the system. This may be why Americans are now pushing for more restrictions. Washington will not only focus on ASML, for example, the US will also insist that Japanese companies cannot export certain chemicals critical to making chips to China.

Impact

Governments in Tokyo and The Hague have responded coolly to recent pressure from Washington, sources said. Before considering drastic measures, they will first want to see what the impact of measures already taken is.