Japan and the Netherlands agree to cooperate with the United States on tightening export controls on semiconductor manufacturing equipment to China

The conflict between the United States and China, which are global economic powers, extends not only to politics but also to the semiconductor field. And we are also working hard to reach out to the Netherlands. New overseas media Bloomberg and the New York Times reported that Japan and the Netherlands have agreed to cooperate with the United States to strengthen export controls on semiconductor manufacturing equipment to China.

Japan, Netherlands to Join US in Chip Export Controls on China - Bloomberg
https://www.bloomberg.com/news/articles/2023-01-27/japan-netherlands-to-join-us-in-chip-export-controls-on-china

Netherlands and Japan Said to Join US in Curbing China's Access to Chip Tech - The New York Times
https://www.nytimes.com/2023/01/28/business/economy/netherlands-japan-china-chips.html

Japan and the Netherlands join US with tough chip controls on China - The Verge
https://www.theverge.com/2023/1/28/23574032/japan-netherlands-chips-semiconductors-china-export-controls

As the conflict with China deepens, the United States is introducing new licensing requirements for exporting high-performance semiconductors from NVIDIA and AMD, which are required for AI-related applications. The U.S. government told NVIDIA that the new licensing requirements 'address the risk that covered products may be used or diverted for 'military end uses' or 'military end-users' in China and Russia.' said to have explained.

The United States is cracking down on semiconductor exports to China due to the suspicion that ``China will develop weapons and decipher code using AI and supercomputers''-GIGAZINE

To counteract these US regulations, China is aiming to build its own semiconductor industry, but the US is also working with Japan and the Netherlands, which are major exporters of advanced semiconductor manufacturing equipment. The cutting-edge semiconductor manufacturing equipment `` extreme ultraviolet (EUV) lithography equipment '' technology is almost monopolized by the Dutch semiconductor manufacturing equipment manufacturer ASML , but as of 2019, EUV lithography equipment sales to China are prohibited. It has been. This time, the United States is working to ban the export of 'deep ultraviolet (DUV) lithography equipment' older than EUV.

The United States appeals to the Netherlands not to sell DUV equipment used for semiconductor manufacturing to China - GIGAZINE

Bloomberg and the New York Times reported, citing testimony from people familiar with the negotiations, that Japan and the Netherlands agreed to restrict exports of semiconductor manufacturing equipment to China in response to US efforts. Meetings in the United States, Japan, and the Netherlands are held privately, and none of the countries plans to publicly announce regulations. It will take more than a few months from the agreement to finalize legal arrangements and implement regulations in Japan and the Netherlands.

The new deal would prevent Dutch ASML from selling at least some DUV equipment to China, and would also affect Japanese semiconductor equipment makers Tokyo Electron and Nikon . American semiconductor manufacturing equipment makers were concerned that they would be the only ones prohibited from selling semiconductor manufacturing equipment to China by government regulations, and that manufacturers from other countries would enter the Chinese market. According to The New York Times, 'the deal is likely to put national technology industries on a more level playing field and prevent Japanese and Dutch firms from rushing into the Chinese market abandoned by American firms.' It says.

John Kirby, strategic communications coordinator at the White House National Security Council , confirmed to Bloomberg that Dutch and Japanese officials are meeting with US National Security Advisor Jake Sullivan, saying, 'Imagine. As you can see, they are talking about a variety of issues that are important to our three countries, and the safety and security of emerging technologies will no doubt be on the agenda.' Dutch Prime Minister Mark Rutte said: 'We have been talking for a long time, but we have not made this public. If anything comes out of the talks, it will be visible. I don't know if,' he commented.

On the other hand, ASML CEO Peter Wennink pointed out in an interview on January 25 that China may eventually develop its own advanced semiconductor manufacturing equipment despite US export restrictions. ``If China can't get those machines, they will develop them themselves,'' he said. ``It will take time, but eventually they will succeed.''