Europe is pushing back on Washington’s chip war

ASML CEO Christophe Fouquet stated in May that China is currently restricted to purchasing older-generation deep ultraviolet (DUV) lithography tools, which were first shipped approximately a decade ago. The proposed MATCH Act in Washington would further prohibit the sale of these same machines to China. This action is part of a broader effort by the United States to curb China's technological advancement, particularly in the semiconductor industry. European nations, however, are expressing concerns that these U.S.-led restrictions could negatively impact their own semiconductor industries and global supply chains. ASML, a Dutch company, is the sole supplier of the most advanced DUV machines, making its role critical in the global chip manufacturing landscape. The company has previously indicated that it must comply with export control regulations imposed by the Dutch government, which are often influenced by U.S. policy. The tension highlights a growing divergence between U.S. and European approaches to managing technological competition with China, with Europe seeking a more balanced strategy that avoids severe economic repercussions.