Prime Minister Mark Rutte’s administration, while hesitant to make sweeping decisions, appears inclined to prioritize national security interests and exercise caution in approving future maintenance requests from Chinese entities. This stance may entail a reluctance to grant such requests promptly and a readiness to reject them when deemed necessary.
Such a stance could impede China’s efforts to bolster its domestic semiconductor industry, given the near irreplaceability of ASML equipment, which is essential for chip manufacturing and prone to deterioration without proper maintenance. Moreover, it may complicate the Dutch government’s endeavors to prevent ASML Holdings NV, the country’s largest corporation, from relocating its operations abroad.
One emerging factor shaping Dutch policy is the nation’s security concerns, particularly its support for Ukraine amid its conflict with Russia. Rutte, a leading contender to assume the role of NATO Secretary General, broached the topic of ASML during his recent meeting with Chinese President Xi Jinping in Beijing. Following the meeting, Rutte underscored China’s support for Russia as a significant concern, especially given the Netherlands’ provision of F-16s to Ukraine.
Rutte emphasized the critical importance of preventing any potential Russian victory in Ukraine, which he emphasized would pose an immediate threat to both the Netherlands and Europe. However, he refrained from directly addressing whether his government intends to deny licenses for ASML’s Chinese clientele.
In response, Xi cautioned against “decoupling and breaking links” with China, as reported by Chinese state media. The exchange underscores the delicate balance the Dutch government must strike between security considerations, economic interests, and diplomatic relations amidst evolving geopolitical dynamics.