ASML again seems to be a victim of US sanctions against China

The United States further restricts ASML’s freedom of trade. The Americans have regulations in place that prevent American ASML employees from working with Chinese clients.

This is stated in an internal ASML memo that appeared on social media.

“The US government has passed a number of new regulations that prohibit it from providing support to certain factories in China. Accordingly, ASML employees from the United States — including U.S. citizens, permanent residents, and aliens residing in the United States — are prohibited from providing certain services to Chinese factories,” the memo reads.

“Effective tonight, US ASML employees should refrain from directly or indirectly providing service, shipping, or providing support to any customer in China until further notice. ASML is actively investigating factories affected by these restrictions,” the memo concludes.

“We do research”

ASML informs Studio040 that the note concerns internal ASML communication, but that it was not intended to be published. “We are taking precautions to ensure full compliance with the new regulations as we investigate new restrictions on export controls,” he said.

“As the memo states, we will issue further instructions when we have completed the investigation. We cannot say more at this time,” ASML said.

Punishments

It is not the first time that shares of the Veldhoven company have been restricted by American interference. It was previously announced that a Syrian engineer because of his origin was not allowed to work for the company, while a Iranian engineer missed a job with ASML due to his nationality.

The United States is lifting sanctions on Syria and Iran because it is at odds with the governments of both countries on the world stage. Curiously, the two engineers were authorized to work for American companies.

Pawn in a power struggle

ASML is also not allowed to supply its latest chip machines to Chinese customers. ASML has a huge lead in the development of chip machines. The company is therefore an important pawn for the United States in the geopolitical power struggle with China, which in the eyes of the United States is becoming too rich and too powerful.

It is therefore not yet known what the consequences of the new American regulations will be. ASML has not yet been able to say how many of its employees will be affected by the new regulations and what the implications will be for business operations. How US sanctions are affecting global chip manufacturing – where all the necessary shortages existis also not clear.