On October 14, Roger Dassen, CFO of ASML, a semiconductor giant and a global lithography machine leader, made a statement on the issue of exporting lithography machines to China. He said that ASML can export DUV (deep ultraviolet) lithography machines from the Netherlands to China without a US license.
On the same day, ASML released its financial report for the third quarter of 2020, and Darson also accepted a video interview. When asked about the impact of the US semiconductor export ban on ASML’s business, Darson responded that they had noticed the US ban and also realized the impact of the ban on Chinese customers.
Then Dassen explained the issue of ASML’s lithography machine export. He said: “If you want to explain the impact of the US regulations on ASML. For Chinese customers, we can still export DUV lithography directly to them from the Netherlands without any export license.”
But he later added that if the relevant systems or parts are exported from the United States, the equipment still needs to be licensed by the United States.
Darson said that ASML will do its best to continue to provide services and support for all customers as much as possible.
According to the public earnings call recording, ASML CEO Peter Wennink also confirmed this at the meeting. Wernicke stated that under current US regulations, DUV lithography machines directly exported from the Netherlands to China will not be affected.
However, both Dasson and Wernicke emphasized the export of DUV lithography machines, and did not mention more advanced EUV (extreme ultraviolet) lithography machines. Bloomberg also stressed in a report on the 14th that the DUV rules do not apply to EUV lithography machines. ASML must obtain a license to export EUV lithography machines to Chinese companies. However, the Dutch government has suspended the EUV lithography machine export license, and has not approved it until now.
According to the financial report released by ASML, ASML lithography machine net sales reached 3.1 billion euros in the third quarter of 2020, and the Chinese mainland market accounted for 21%. ASML’s total net sales in the third quarter reached approximately 4 billion euros and net income was nearly 1.1 billion euros. It is worth mentioning that EUV lithography machines account for a very high proportion of revenue, contributing 66% of lithography machine sales.
In May of this year, ASML and Wuxi High-tech Zone signed a strategic cooperation agreement to expand and upgrade the ASML lithography equipment technical service (Wuxi) base in Wuxi High-tech Zone. Prior to this, ASML has opened branches in Beijing, Shanghai, Shenzhen, Wuxi, and other places to provide customers with services and consulting. Among them, Shenzhen is its largest software research and development center in Asia.