The Battle for Semiconductor Dominance: Netherlands’ Key Role in the Global Industry

The Dutch Company that Plays a Crucial Role in China’s Tech Industry

The Netherlands is a significant player in the global semiconductor industry, with Dutch company ASML being the only company capable of producing lithography systems on a large scale. This technology is crucial for semiconductor chip production and makes ASML a valuable technology group in Europe.

ASML’s importance in Beijing stems from China’s reliance on the company, particularly due to its role in the global semiconductor industry. The US has imposed an embargo on advanced semiconductor chips to China, impacting ASML’s business in China and making it difficult for them to continue servicing machines there. However, China recognizes the significance of maintaining a relationship with the Netherlands and ASML, despite tensions over the semiconductor industry.

During his visit to Beijing, Dutch Prime Minister Mark Rutte met with Xi Jinping, who criticized him for imposing the embargo on ASML. Xi emphasized China’s right to technological progress and development despite external restrictions. While China accepts the limitations imposed by the embargo, they seek to ensure that ASML can continue servicing machines in China.

The global semiconductor industry is a battleground between the US and China, with Taiwan being a key player in chip production. As such, strategic alliances and decisions have far-reaching implications for both parties involved. Despite tensions over this issue, China recognizes the importance of cooperation with countries like the Netherlands in certain areas of technology and trade.

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