New restrictions announced by the Netherlands affect machines used by many semiconductor plants in China Mainland semiconductor factories could face significant production challenges, as the Netherlands bans Dutch chip tool giant ASML Holding from servicing some of its most reliable equipment in China,

The Dutch government on Tuesday clarified that ASML needs a licence to provide spare parts and software updates for computer chipmaking equipment it has previously sold to Chinese customers that now falls under export restrictions.

The Dutch government published new export controls rules on Friday that will make ASML Holding NV apply for licenses with The Hague rather than the US government for some of its machines.