The Pak Banker

China access to chip tech limited, agreement reveals

- WASHINGTON, D.C -AFP

Japan and the Netherland­s have agreed to a deal with the US to restrict China's access to materials used to make advanced computer chips, a person familiar with the agreement .

The person declined to be identified because the deal hasn't yet been formally announced. It's unclear when all three sides will unveil the agreement. The White House declined to comment.

The Biden administra­tion in October imposed export controls to limit China's ability to access advanced chips, which it says can be used to make weapons, commit human rights abuses, and improve the speed and accuracy of its military logistics. It urged allies like Japan and the Netherland­s to follow suit.

China has responded angrily, saying trade curbs will disrupt supply chains and the global economic recovery. "We hope the relevant countries will do the right thing and work together to uphold the multilater­al trade regime and safeguard the stability of the global industrial and supply chains," China's Foreign Ministry spokesman Wang Wenbin said earlier this month. "This will also serve to protect their own long-term interests."

White House National Security Council spokesman John Kirby said Friday that Dutch and Japanese officials were in Washington for talks led by President Joe Biden's National Security Adviser, Jake Sullivan, that covered the "safety and security of emerging technologi­es," efforts to aid Ukraine and other issues.

"We're grateful that they were able to come to [Washington], D.C. and to have these talks," Kirby said.

Kirby declined to say whether there was a deal on tighter export controls on semiconduc­tor technology. This month, Biden met separately with Japanese Prime Minister Fumio Kishida and Dutch Prime Minister Mark Rutte to push for tighter export controls.

In a press conference last week, Rutte was asked about the talks but said they involve "such sensitive material... high-quality technology that the Dutch government chooses to communicat­e about it very carefully and that means in a very limited way."

Veldhoven, Netherland­s-based ASML, a leading maker of semiconduc­tor production equipment, said Sunday that it didn't know any details about the agreement or how it would affect ASML's business.

ASML is the world's only producer of machines that use extreme ultraviole­t lithograph­y to make advanced semiconduc­tor chips. The Dutch government has prohibited ASML from exporting that equipment to China since 2019, but the company had still been shipping lower-quality lithograph­y systems to China.

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