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Netherlands restricts exports of chip manufacturing equipment

The Dutch government has extended export control measures for chip manufacturing machines.

Netherlands restricts exports of chip manufacturing equipment

Effective September 1, 2023, new restrictions require advance licensing for the shipment of chip manufacturing equipment outside the European Union (EU). This measure was taken in view of the critical role of these machines in the production of advanced military technologies and the negative impact of uncontrolled exports on national security.

Reinette Klever, Minister of Foreign Trade and Development Cooperation, stated that the new chip machines are used in the production of advanced military vehicles, “For reasons of national security, these machines can only be exported with a license. This is how the Council of Ministers controls who gets their hands on these machines.” It was also emphasized that even old machines can produce high-tech chips and therefore an export license is required for old machines.

Netherlands-based ASML said that the government's restrictions will not have a serious impact on the company's financial situation or long-term policies. However, these measures are expected to affect exports, especially to China and Russia. Europe and the US are concerned about the economic and military threats posed by China's acquisition of advanced chips from ASML and similar companies.

According to Trouw newspaper, the microchips used in Russia's weapons production are produced with old ASML machines, while Russian arms companies usually provide the necessary parts for these machines through intermediaries in China. These developments show that companies exporting chip machines from the Netherlands are looking for ways to circumvent the sanctions.

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