Reports indicate that a Chinese state-owned enterprise has begun manufacturing DUV lithography equipment necessary for semiconductor production.
It has been reported that a Chinese state-owned enterprise is expected to manufacture immersion deep ultraviolet (DUV) lithography equipment, a market previously dominated by the Dutch company ASML. This report caused ASML's stock price to fall by 7%.
China begins making homegrown DUV chipmaking tools, The Information reports | Reuters
ASML stock falls on reports of fresh competition from Chinese chipmaker
https://finance.yahoo.com/markets/stocks/articles/asml-stock-tumbles-6-investors-211116008.html
Chip stocks slide as China advances domestic lithography, memory production | NASDAQ:ASML, XETRA:ASME
https://www.proactiveinvestors.com/companies/news/1096092/chip-stocks-slide-as-china-advances-domestic-lithography-memory-production-1096092.html
According to sources familiar with the matter, a Shanghai-based company plans to manufacture DUV lithography equipment and supply it to domestic semiconductor manufacturers such as SMIC and CXMT. The plan is still in its early stages, and it is reported that the Chinese manufacturer will need several months or more to verify the accuracy, reliability, and compatibility of the equipment before it can be put into use. The initial plan is to produce approximately five units in 2026 and about 20 units in 2027.
Those involved did not disclose the name of the manufacturing company, citing its 'high level of confidentiality.'
Following the news, ASML's stock price fell 7%. JPMorgan emphasized to investors that 'producing a limited number of DUV lithography machines does not equate to supplying machines capable of mass production.' It stated that the reported production number is far below the 131 units ASML produced in 2025.
This news also impacted the stock prices of companies involved in the global semiconductor manufacturing equipment supply chain, with BESI falling by approximately 8.5%, Soitec by 5%, and Infineon Technologies by approximately 3%.
Furthermore, ASML still holds a monopoly on the extreme ultraviolet (EUV) lithography equipment necessary for cutting-edge manufacturing processes, and China is unable to obtain this equipment due to export restrictions.
However, it has also been reported that China has created a prototype EUV lithography system with the cooperation of former ASML engineering teams.
Reports indicate China has successfully reverse-engineered an EUV lithography system in collaboration with a former ASML engineer; a prototype is already complete, suggesting that domestic production of high-performance semiconductors may be imminent - GIGAZINE
Related Posts:
in Hardware, Posted by log1p_kr