U.S.-China Tech Battle Intensifies Over ASML Chipmaking Exports

China's Minister of Commerce expresses grave concerns over U.S. efforts to halt lithography machine exports, potentially impacting global tech industry.

• ASML, a Dutch firm specializing in advanced chipmaking technology, is facing increased scrutiny in U.S.-China relations as China's Minister of Commerce, Wang Wentao, expressed concerns to U.S. Commerce Secretary Gina Raimondo about U.S. efforts to pressure ASML into stopping some lithography machine exports to China.
• The U.S. Commerce Department initiated this development as ASML canceled shipments of high-end products to China, complying with U.S. directives.
• In 2024, the Netherlands blocked the export of critical lithography systems, including the NXT:2050i and NXT:2100i, which are essential for advanced microprocessor manufacturing.
• U.S. officials are contemplating imposing tariffs on low-priced Chinese chips to safeguard advanced technology from the Chinese military's hands.
• Chinese cloud companies, which currently source about 80% of high-end AI chips from Nvidia, could significantly reduce their orders by 50%-60% within five years, affecting Nvidia's business in China.

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