Breakingviews - America's hazy chip deal fogs market signals

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From Breakingviews - America's hazy chip deal fogs market signals

Employees are seen working on the final assembly of ASML's TWINSCAN NXE:3400B semiconductor lithography tool with its panels removed, in Veldhoven, Netherlands, in this picture taken April 4, 2019. Bart van Overbeeke Fotografie/ASML/Handout via REUTERSwith the Netherlands and Japan to suppress some chip-related exports to China looks like a diplomatic win.

Having unveiled sweeping new curbs targeting the People's Republic in October, American officials have lobbied friendly governments to follow suit. Companies like Dutch giant ASML and Tokyo Electron enjoy near-monopolies in chipmaking equipment, namely lithography machines and silicon-wafer coatings. Preventing them from selling to Chinese companies would deal afor officials in the Netherlands and Japan.

 

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