The US government contacted Dutch company ASML to cancel shipments of certain machines to Chinese customers. ASML is now suspending shipments of advanced lithography machines to the country.
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China is changing its strategy to support its semiconductor industry by providing easier access to subsidies to some companies. This comes amidst tight U.S. controls over chip-making equipment.
High demand for tech and supply chain chaos has resulted in chip shortages across the world. However, companies can't make more chips since now they are facing a shortage of chip-making tools.
Intel is the first chip maker that has placed an order for ASML's High-NA Twinscan EXE:5200 scanner that will allow the company to start using its 18A (1.8nm) fabrication tech starting 2025.
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