Associated Reuters commented, one of the top policy goals of Chinese President Xi Jinping is to build a domestic semiconductor manufacturing industry, spending billions of dollars on subsidies. Meanwhile, the US government wants to slow down this progress and seek help from allies such as the Netherlands and Japan.
According to Xinhua News Agency, Mr. Xi Jinping affirmed “The Chinese people also have the legitimate right to development, and no force can stop the pace of China's scientific and technological progress.” in a meeting with the Prime Minister of the Netherlands.
In addition, Mr. Xi also emphasized that China will “continue to pursue a win-win approach.”
Recently, the Netherlands blocked the export of modern chip technology to China due to concerns that it could be used for military purposes. Chips are important components, present in everything from smartphones to cars.
Dutch chip giant ASML is banned from exporting state-of-the-art ultra-ultraviolet (EUV) lithography machines to China. ASML is the only company in the world capable of producing this machine to date. None of ASML's EUV machines have been exported to the mainland. Such EUV machines are essential for making the smallest and most sophisticated chips.
In January, the Netherlands also banned ASML from selling some deep ultraviolet (DUV) printers to China. DUV machines are used to produce less modern chips.
Export restrictions to date have only had a modest impact on ASML's finances. However, in the long term, Chinese chip manufacturers can replace ASML devices with domestic SMEE or Japanese brands such as Nikon and Canon.
Still following Xinhua News Agency, in the meeting on March 27, Mr. Xi said: “Creating scientific and technological barriers and cutting off industrial and supply chains will only lead to division and confrontation”. Cooperation is the only way, he added.
The Chinese President also said that the country is ready to dialogue with the Netherlands and call for it “Providing a transparent and fair business environment for Chinese businesses”.
According to Reuters, Prime Minister Mark Rutte said the Netherlands tries to ensure export restrictions never target a specific country.
(According to CNBC, Reuters)
