ASML Faces New Export Controls from Netherlands, Aligning with US Measures

The Dutch government has introduced new export control rules that align with US restrictions on chip tools, including specific measuring and inspection equipment made by ASML Holding NV and ASM International NV. The measures will come into effect on April 1 and apply to equipment used in high-end chip production, including ASML's lithography machines. The Dutch rules will require companies to obtain licenses from the Dutch government instead of Washington.

The Dutch government's recent announcement of new export control rules has significant implications for the semiconductor industry, particularly for ASML Holding NV and ASM International NV. These rules, which take effect on April 1, align with US restrictions on chip tools, including specific measuring and inspection equipment used in high-end chip production [1].

ASML, a leading supplier to the semiconductor industry, will need to apply for export licenses with the Dutch government for its most advanced immersion lithography systems, such as the TWINSCAN NXT:2000i and subsequent immersion systems [1]. The Dutch government will determine whether to grant or deny these licenses and provide further details on any conditions that apply.

The new regulations come as a response to increasing global tensions surrounding the semiconductor industry and advanced technology. While ASML's financial outlook for 2023 is not expected to be materially impacted by these measures [1], the company will continue to comply with applicable export regulations, including Dutch, EU, and US regulations.

It is important to note that these additional Dutch export controls only pertain to the TWINSCAN NXT:2000i and subsequent immersion systems [1]. Furthermore, ASML's longer-term scenarios are primarily based on global secular demand and technology trends, rather than detailed location assumptions.

The new Dutch export control rules are part of a broader trend of governments implementing stricter regulations on the semiconductor industry to protect national security and maintain technological competitiveness. These regulations have significant implications for the global semiconductor supply chain and the companies that operate within it.

[1] ASML. (2023, March 28). Statement Regarding Export Control Regulations Dutch Government. https://www.asml.com/en/news/press-releases/2023/statement-regarding-export-control-regulations-dutch-government