Chinese Chipmakers CXMT and YMTC Stockpile ASML DUV Tools for Three-Year Expansion, Report Says

Chinese memory maker CXMT and storage firm YMTC have reportedly stockpiled enough deep ultraviolet (DUV) lithography machines from Dutch supplier ASML to support their expansion plans for the next three years, even if future supply were cut off. Both outlets cite a Financial Times report as the source of this claim.

The stockpiling comes amid rising US pressure on the Dutch government to halt DUV tool exports to China entirely. According to TechPowerUp, a bipartisan US bill called the Multilateral Alignment of Technology Controls on Hardware (MATCH) Act is under consideration, which could force allied countries to ban even older DUV machine exports to China. TechPowerUp reports that such a move could eliminate close to one-fifth of ASML's projected revenue for this year, while making it nearly impossible for Chinese firms to replace ASML tools domestically in the near term.

Both sources note that while Chinese manufacturers are barred from buying ASML's advanced EUV machines, they can still purchase older DUV equipment used for mature-node chip production, and China represents a significant share of ASML's orders. Both outlets also report that a domestic Chinese firm has begun limited production of immersion DUV lithography machines, aiming for 12 systems by the end of the year, up from an earlier target of five.

The two sources differ slightly on the naming and relationship of the Chinese equipment makers involved. TechPowerUp identifies the company scaling up production as Shanghai Yuliangsheng Technology. Wccftech states that state-backed Shanghai Aishengna Electronic Technology Group was first reported in late July to be entering mass production, initially targeting five machines this year and twenty by the end of 2027, and separately notes that Yuliansheng — a closely related firm sharing the same Shanghai address — has raised its own target to twelve machines this year, an increase over the earlier five-machine estimate.

Wccftech additionally cites a UBS estimate suggesting Chinese equipment makers could be up to ten years behind ASML in EUV lithography technology, though it notes their progress in DUV technology is further along, with some firms exploring methods to produce advanced chips without relying on the latest EUV tools.