China president: we don't need ASML, 'no force can stop the pace of China' tech development

ASML is the only company in the world with advanced High-NA EUV lithography machines, with Intel as its latest $380 million customer. Now, Chinese President Xi Jinping has told visiting Dutch Prime Minister Mark Rutte-ASML, who is in the Netherlands, that attempts to restrict China's success to technology will not stop his country's advancement.

2

The Netherlands slapped down export licensing requirements in 2023, stopping the sale of high-end machinery that is capable of making the world's most advanced processors. The US started by blocking access to advanced chips and the equipment required to make them, citing security concerns with China, seeing the Netherlands impose similar restrictions.

Chinese President Xi Jinping said: "The Chinese people also have the right to legitimate development, and no force can stop the pace of China's scientific and technological development and progress."

State broadcaster CCTV didn't state which chip-making equipment President Xi was talking about. Xi talked about the creation of scientific and technological barriers and the breaking up of the industrial and supply chains that will reportedly lead to division and confrontation, reports the Associated Press.

In 2023, China was the second-largest market for ASML, representing around 29% of ASML's revenue as Chinese companies were scooping up as much as ASML's high-end extreme ultraviolet (EUV) lithography machines before the new licensing requirements came into effect.

Dutch Prime Minister Mark Rutte spoke to journalists after he met with President Xi, but didn't go into specifics during the chat. Rutte said: "What I can tell you is that... when we have to take measures, that they are never aimed at one country specifically, that we always try to make sure that the impact is limited, is not impacting the supply chain, and therefore is not impacting the overall economic relationship".