A $150 million chip-making tool from a Dutch company has become a lever in the U.S.-Chinese struggle. It also shows how entrenched the global supply c

The Tech Cold War’s ‘Most Complicated Machine’ That’s Out of China’s Reach

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2021-07-04 19:00:08

A $150 million chip-making tool from a Dutch company has become a lever in the U.S.-Chinese struggle. It also shows how entrenched the global supply chain is.

A machine made by a Dutch company, ASML, produces much tinier circuitry on computer chips. This one is in an IBM facility in Albany, N.Y. Credit... Bryan Derballa for The New York Times

SAN FRANCISCO — President Biden and many lawmakers in Washington are worried these days about computer chips and China’s ambitions with the foundational technology.

But a massive machine sold by a Dutch company has emerged as a key lever for policymakers — and illustrates how any country’s hopes of building a completely self-sufficient supply chain in semiconductor technology are unrealistic.

The machine is made by ASML Holding, based in Veldhoven. Its system uses a different kind of light to define ultrasmall circuitry on chips, packing more performance into the small slices of silicon. The tool, which took decades to develop and was introduced for high-volume manufacturing in 2017, costs more than $150 million. Shipping it to customers requires 40 shipping containers, 20 trucks and three Boeing 747s.

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