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Exports from Israel, Taiwan, Singapore, and Malaysia will be impacted by the new regulations, say the agency's sources. Similarly, these regulations will not be enforced in Japan, the Netherlands, South Korea, and over 30 other countries.
Therefore, the largest chip equipment manufacturers - ASML and Tokyo Electron, will not be affected by the new U.S. measures. Stocks of ASML and Tokyo Electron surged over 11% following this announcement.
Reuters points out that the latest regulation broadens the scope of the "foreign direct product rule." If a product is created with U.S. technology, the U.S. government can prohibit its sale, even if it is produced in other nations.
As stated by Reuters, this regulation has been in place for multiple years to block Chinese technology company Huawei from selling chips produced outside the country. Furthermore, the United States intends to limit trade with approximately 120 Chinese entities, which includes six semiconductor manufacturing plants.
source: reuters.com
Therefore, the largest chip equipment manufacturers - ASML and Tokyo Electron, will not be affected by the new U.S. measures. Stocks of ASML and Tokyo Electron surged over 11% following this announcement.
Reuters points out that the latest regulation broadens the scope of the "foreign direct product rule." If a product is created with U.S. technology, the U.S. government can prohibit its sale, even if it is produced in other nations.
As stated by Reuters, this regulation has been in place for multiple years to block Chinese technology company Huawei from selling chips produced outside the country. Furthermore, the United States intends to limit trade with approximately 120 Chinese entities, which includes six semiconductor manufacturing plants.
source: reuters.com