© Bart van Overbeeke
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In response to the new Dutch export rules for ASML chipmaking equipment, announced on Friday, the Chinese Commerce Ministry said the country is “dissatisfied” with the decision. In a statement, China accuses the US of purposefully coercing “countries to tighten export control measures for semiconductors and (related) equipment.”

On Friday, Dutch Foreign Trade and Development Minister Joanne Klever announced the need to tighten export regulations amid technological advancements. Chips can be used for military purposes. Therefore, focused on increasing national security, the new regulation expands export licensing requirements for specific ASML shipments, including the ones to China. 

Alignment with the US

The Dutch regulations are now aligned with export restrictions imposed by the United States, which has sparked the Chinese reaction. According to Beijing, the US wants to maintain its global hegemony by forcing other countries to impose restrictions on them.

Sino-Dutch relation

Due to its growing chip industry, China plays a big role in the international trade of chipmaking tools. Half of ASML’s sales come from Chinese partners. That’s why Beijing comprehends the importance of maintaining a healthy relationship with the Netherlands.

China’s Commerce Ministry said that the Netherlands should protect the common interests of Chinese and Dutch companies by not abusing export controls, and avoiding actions that harm the cooperation between both countries.   

Dutch measures in practice

Since September 7, the new export controls have been in force, meaning that ASML now needs to apply for permission from the Dutch government to ship specific tools to China. Despite the “dissatisfaction” of the Chinese Ministry, the export rule imposed by the Netherlands does not ban transactions with the Asian country, however, it increases control over this cutting-edge technology.