The Netherlands has announced new restrictions on the export of advanced semiconductor equipment, as the US continues to apply pressure on ally countries to starve China of the sought-after technology.
According to the Dutch government, the new rules will require companies that manufacture semiconductors will have to seek a licence before exporting it. The law is due to come into effect on the 1st September.
The rules, which will require companies that make advanced chipmaking equipment to seek a licence before they can export it, are expected to go into effect on 1 September.
ASML, one of the biggest and most prolific semiconductor companies in the world based in the Netherlands, saw its shares fall 1.5% on Friday (30 June).
The news comes after the US imposed strict sanctions on the export of semiconductor technology to China last year.
The US has been applying pressure to neighbouring countries to impose their own sanctions to China as well – and have been especially keen on The Netherlands following in its footsteps, because of the importance of ASML.
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The new sanctions will cover a “number of very specific technologies for the development and manufacture of advanced semiconductors,” the Dutch government said in a statement.
Dutch Trade Minister Liesje Schreinemacher said: “We’ve taken this step on national security grounds. It’s good for the companies that will be impacted to know what they can expect. This will give them the time they need to adapt to the new rules.”
The new sanctions have not singled out China, or any specific country, and has no mention of ASML.