A U.S. official is on his way to Japan after meeting with the Dutch government to urge allies to tighten restrictions on China’s semiconductor production, a source told Reuters. Alan Estevez, the U.S. export policy chief, is building on a 2023 agreement to prevent China from acquiring chipmaking equipment for military modernization.
In response, China expressed opposition to U.S. coercion, hindering global semiconductor development. The Dutch and Japanese governments are involved in discussions with the U.S., with Japan imposing export limits last year following Washington’s lead.
The U.S. is considering adding more Chinese chipmaking factories to the restricted list. ASML, a major chip equipment maker, faces scrutiny as its equipment contains U.S. parts. The U.S. Commerce Department and Dutch officials are engaged in ongoing talks to address these concerns.
Despite these challenges, ASML continues to service equipment in China, avoiding U.S. restrictions on spare parts. China’s Huawei also defied sanctions by releasing a phone with a sophisticated chip, showcasing technological resilience.
© Thomson Reuters 2024.