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US Urges Netherlands To Limit ASML's China Tool Servicing

Semicon China in Shanghai

The United States is set to apply pressure on the Netherlands next week in an effort to restrict ASML Holding's ability to service tools for China, according to sources familiar with the matter. ASML Holding, a Dutch company, is a key player in the semiconductor industry, providing advanced lithography machines that are crucial for the production of computer chips.

The move by the U.S. comes amid growing concerns over the transfer of sensitive technology to China, particularly in the semiconductor sector. ASML's machines are considered cutting-edge and are in high demand by chip manufacturers around the world, including those in China.

The U.S. government has been increasingly vocal about the need to protect American technological superiority and prevent China from gaining access to critical technologies that could be used for military purposes or to undermine U.S. national security interests.

ASML Holding has previously faced scrutiny over its business dealings with China, with some U.S. officials expressing concerns that the company's technology could be used to advance China's semiconductor capabilities. The Dutch government has so far resisted pressure to impose restrictions on ASML's exports to China, citing the company's compliance with international trade regulations.

However, the U.S. is now reportedly planning to escalate its efforts by directly engaging with Dutch officials to urge them to limit ASML's activities related to servicing tools for China. The outcome of these discussions could have significant implications for ASML Holding's operations and its position in the global semiconductor market.

ASML Holding has not yet commented on the reported pressure from the U.S. government or the potential impact on its business. The company is expected to closely monitor the developments and work with relevant stakeholders to address any concerns raised by the U.S. authorities.

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