ASML Warning: Excessive Export Controls May Raise Chip Costs

ASML Chief Executive Peter Wennink warned that excessive regulations could lead to higher costs for chipmakers, as the United States asked allies from Japan to the Netherlands to help limit China's access to key semiconductor technology.

The Netherlands and Japan, home to major suppliers of semiconductor manufacturing equipment, are about to join a U.S. government-led effort to curb exports of the technology to China, and ASML could face more restrictions on sales to Chinese customers, Bloomberg reported. “Chip availability may decrease, possibly due to export controls going too far, which also means we will have a less efficient infrastructure and costs will likely go up,” Wennink said.

As far as the Dutch government may adopt new restrictions on ASML's sales of semiconductor equipment to China, Wennink pointed out that the company has given up enough, and there have been restrictions on the sale of extreme ultraviolet lithography machines to China.

Regarding this issue, Wennink once said that under the pressure of the United States, the Dutch government has restricted ASML’s export of its most advanced lithography machines to China since 2019. company.

In addition, according to the Financial Times, Wennink called on the Dutch government to choose sensible control measures for Chinese exports and not to have a major impact on major global industries. Wennink said the growing divide in the global chip industry is due in part to a surge in government investment and escalating trade tensions, which are creating more hurdles and friction for the broader chip industry.