Key Takeaways
- The Dutch government put restrictions on some ASML equipment exports to China, following limits announced by the U.S. last year.
- ASML said it doesn’t believe that decision, or rules put in place by the U.S., will have an impact on its 2023 results.
- The company said it recently received clarification from Washington on what is no longer allowed to be shipped, and will cooperate with any export control legislation in countries where it operates.
American depositary receipts (ADRs) of Netherlands-based ASML Holding N.V. (ASML) dropped over 3% in intraday trading Tuesday as Dutch officials blocked the semiconductor production equipment maker from exporting some of its products to China.
The company said a license for shipment of its NXT:2050i and NXT:2100i lithography systems in 2023 “has been partially revoked by the Dutch government, impacting a small number of customers in China.”
The move came as the U.S. has also ramped up restrictions on certain tech exports to China on concerns about national security.
ASML said it doesn’t believe that the decision by Amsterdam or the latest American export controls will impact its 2023 financial outlook.
The company noted it has held discussions recently with Washington about the latest export rules that were announced in October. It said those talks helped clarify the “scope and impact” of the limits on certain “mid critical DUV immersion lithography systems for a limited number of advanced production facilities.”
ASML added that it was “fully committed” to complying with all applicable laws and regulations, including export control legislation, in the countries where it operates.
Despite Tuesday’s decline, ASML Holding N.V. ADRs have gained more than 30% over the past year.
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