The USA has succeeded in getting Japan and the Netherlands involved in limiting China’s technological breakthrough. It’s about the US trying to influence China’s ability to design and manufacture microchips that the superpower can then use in the areas of military and artificial intelligence development. Already at the end of last year, the US introduced sanctions that prevent US companies from selling chips to China without special permission. Also, the US is also starting to actively finance chip manufacturing companies to expand their operations directly in the US. $52 billion of the total CHIPS and Science Act program’s $280 billion is earmarked directly to support semiconductor technology manufacturers. Currently, such companies as Intel, TSMC and Samsung are involved in this program.
Why Japan and the Netherlands? Because these countries develop the world-class technology and devices required for chip manufacturing. In the Netherlands, the company ASML, which manufactures ultraviolet lithography devices, will be most directly affected by these new restrictions. They are then used in the production of chips. The head of the company, Peter Wennink, has indicated that in 2022, about 15% of sales were to Chinese companies. However, he also said that these restrictions will not significantly change anything and that the Chinese will sooner or later learn to create these technologies themselves. In Japan, the export restrictions will most directly affect Nikon and Tokyo Electron.