China says may retaliate against US's 'hegemonic' chip war

China's response to US chip-equipment curbs is not expected to affect its relationship with the European Union, according to the Chinese ambassador to the Netherlands. The US ban on the sales of high-end equipment to China has drawn ASML Holding N...

Agencies
The European Union can avoid getting swept up into China’s response to US chip-equipment curbs, Beijing’s ambassador in The Hague said in an interview with a Dutch newspaper.

“If the Americans treat us in a hegemonic manner, we will of course respond,” said Tan Jian, Chinese ambassador to the Netherlands, in an interview with NRC published Sunday. “But our relationship with the EU should not be affected.”

The Netherlands is home to ASML Holding NV, which makes the world’s most advanced chipmaking gear and has been drawn into a geopolitical spat as the Biden administration seeks to curtail Beijing’s ambitions in the semiconductor industry. An expanded ban on the company’s sales of certain high-end equipment to China took effect this month.


“The US has stretched its idea of ??security far, too far, even to matters that have nothing to do with military risks,” he said in the interview. “And they are putting pressure on their allies to do the same.”

Read More: ASML, Europe’s Most Valuable Tech Firm, Defines Global Chip War

Earlier this month, ASML said it canceled shipments of some machines to China after the Dutch government partially revoked export licenses. The move was at the request of US President Joe Biden’s administration and came weeks before the ban took effect, Bloomberg reported earlier this month.
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The White House has made it clear to China that the US is “trying to de-risk, not de-couple,” White House spokesman John Kirby said Monday when asked about Tan’s comments.

“Our decisions in terms of of these export licenses is really designed specifically to make sure that we can continue to protect US national security,” Kirby continued, saying companies make their own decisions.

Tan said dialog with the Dutch government needs to improve to prevent the situation from getting worse. Chinese companies were finding it more difficult to operate in the bloc due to increased controls, political pressure and disinformation, according to Tan.

“European China policy is confusing,” he said. “China is referred to as a cooperation partner, an economic competitor and a systemic rival.”
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