Biden seeks out Dutch support for blockade on Chinese chip industry
- Reference: 1674041232
- News link: https://www.theregister.co.uk/2023/01/18/biden_dutch_asml/
- Source link:
Semiconductor supply chains, export rules for chipmaking equipment, and Dutch plans to provide Ukraine with another Patriot missile defense system were among the topics discussed during the meeting, Reuters [1]reports .
The Netherlands is an important cog in the global semiconductor machine. The country is home to ASML, which produces chipmaking equipment, including the extreme ultraviolet (EUV) lithography machines used in leading edge chip manufacturing.
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Facing pressure from the US, the Dutch Government has already blocked the sale of most EUV equipment to China. Late last month the Dutch government said it would [3]expand the Chinese export ban to more lithography equipment. According to Reuters, the decision is expected to cost ASML about 5 percent of revenues. China accounts for about 15 percent or about $3 billion of ASML's annual revenues.
[4]
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Despite signs the Dutch government will stand behind US efforts to further ostracize China's semiconductor industry, the Dutch Trade Minister Leisje Schreinemacher said Sunday while speaking on the Buitenhof show that any cooperation wouldn't be a blank check.
[6]US expands efforts to hamstring China's chipmaking mojo
[7]US pressures Asian allies to join crusade against Chinese chipmakers
[8]US, Canada, Mexico ponder some sort of chip supply collab
[9]Biden cuts off China's Yangtze, 30 others from US chipmaking gear
"We've been talking with the Americans for a long time, but they came up with new rules in October, so that changes the playing field, Schreinemacher said, according to [10]Reuters . "So, you can't say they've been pressuring us for two years and now we have to sign on the dotted line. And we won't."
For the past two administrations, the US has made a concerted effort to deny China access to EUV and older deep ultraviolet (DUV) lithography machines used in chipmaking.
In October, the Biden Administration [11]enacted stiff export controls on the sale of semiconductor manufacturing equipment and warned three US companies — LAM Research, KLA Corp, and Applied Materials — that they could no longer do business with Chinese firms without special permission from the US Commerce Department.
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But while the US can limit the export of domestic goods to China on National Security grounds, its ability to prevent other companies from filling the void in the Chinese supply of chipmaking equipment is limited.
Biden has spent the early weeks of the new year meeting with world leaders to [13]gather support for stiffer controls on the export of semiconductor manufacturing equipment to China. The US president has also worked with allies to shore up gaps in the global semiconductor supply chain.
Last week, Biden met with Canadian Prime Minister Justin Trudeau and Mexican President Andrés Manuel López Obrador during the North American Leaders Summit to [14]discuss several issues ranging from drug trafficking, immigration, climate change, and aligning the nations' resources around semiconductor manufacturing.
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Biden later met with Japanese Prime Minister Fumio Kishida to [16]discuss a variety of issues including military defense and stiffer restrictions on the sale of semiconductor manufacturing gear and natural resources to China. ®
Get our [17]Tech Resources
[1] https://www.reuters.com/world/europe/dutch-premier-pledges-patriot-missiles-ukraine-biden-meeting-2023-01-17/
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2Y8gltSXLZkTWqLhZSFm5AgAAAFQ&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[3] https://www.bloomberg.com/news/articles/2022-12-07/us-led-curbs-on-china-tech-to-tighten-as-dutch-plan-new-controls#xj4y7vzkg
[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Y8gltSXLZkTWqLhZSFm5AgAAAFQ&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Y8gltSXLZkTWqLhZSFm5AgAAAFQ&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[6] https://www.theregister.com/2022/07/05/us_expands_efforts_to_hamstring/
[7] https://www.theregister.com/2023/01/09/us_china_japan_chips/
[8] https://www.theregister.com/2023/01/10/us_canada_mexico_chips/
[9] https://www.theregister.com/2022/10/07/biden_china_chips/
[10] https://www.reuters.com/technology/dutch-trade-minister-wont-summarily-agree-us-rules-china-exports-2023-01-16/
[11] https://www.theregister.com/2022/10/07/biden_china_chips/
[12] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Y8gltSXLZkTWqLhZSFm5AgAAAFQ&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[13] https://www.theregister.com/2023/01/09/us_china_japan_chips/
[14] https://www.theregister.com/2023/01/10/us_canada_mexico_chips/
[15] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/systems&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Y8gltSXLZkTWqLhZSFm5AgAAAFQ&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[16] https://www.whitehouse.gov/briefing-room/statements-releases/2023/01/13/joint-statement-of-the-united-states-and-japan/
[17] https://whitepapers.theregister.com/
Re: Bullies
Completely agree. As China continues to broaden their offerings beyond the family consumer, the more resistance they'll face from the US that considers them a threat concerning information technologies.
Re: Bullies
We in the west wouldn't be putting up with it if those we designate as enemy states were trying this shit on with others. Thankfully we have hypocrisy which makes it okay when we do it.
Wrong name of minister
The name of the trade minister is Liesje Schreinemacher, not Leisje, see also https://www.government.nl/government/members-of-cabinet/liesje-schreinemacher
I hope the Dutch don't go along with this
The political consequences of letting the US dictate terms to falsify their own competitiveness reach much further than just this instance - it sets a precedent that the US can decide which markets are open and which not. In the context of the US' dwindling global control on account of being mainly controlled by buffoons, that is not a good thing to encourage.
The Dutch have been fairly neutral so far. I hope they keep it that way, otherwise they'll be sucked into a game with no winners.
Bullies
The US wants to cripple every possible competitor so they can be the rulers of the world.
The best thing for the Dutch to do would be to remove their EUV export ban - tell the US that they are not the rulers of the world.