US wants Japan and Netherlands to curb China's development in chip industry - Bloomberg

The US wants to curb China's development in the chip industry (photo: semiconductorforu.com)

A senior US official will visit Japan and the Netherlands to request these countries impose new restrictions on China's semiconductor sector, according to Bloomberg.

Washington aims to pressure Beijing's ability to produce high-quality memory chips essential for artificial intelligence.

Journalists report that US Under Secretary of Commerce for Industry and Security Alan Estevez will pressure his counterparts in Tokyo and Amsterdam to impose more restrictions on the activities of Dutch supplier ASML Holding NV and Japanese Tokyo Electron Ltd in China.

ASML and Tokyo Electron machines are used to produce dynamic random-access memory crystals, which are assembled to manufacture HBM chips.

Among the Chinese companies working on HBM chips are Wuhan Xinxin Semiconductor Manufacturing Co., a subsidiary of leading Chinese memory chip manufacturer Yangtze Memory Technologies Co.

However, journalists previously reported that the governments of Japan and the Netherlands resisted US pressure on this issue.

Why is the US pressuring China

The US is seeking to curb China's technological development in the chip and semiconductor industry for several reasons:

  • The US aims to maintain its technological leadership and competitive advantage in the global market;
  • There are also concerns about national security, as more advanced Chinese technologies could be used for military purposes;
  • The US wants to protect intellectual property and prevent technology theft.

Moreover, restraining China's technological development is part of a broader strategy to curb its economic and political influence on the global stage.

At the end of May, it was reported that China was investing an additional $47.5 billion in semiconductor production.