Japan and the Netherlands are set to join the United States-led efforts in chip export controls on China. The officials from the United States, Denmark and Japan are scheduled to conclude talks to set new limitations to what can be supplied to the Chinese companies, Bloomberg reported.
The talks between the three sides on the matter of chip control are reportedly private. The Bloomberg report added that there is no plan for a public announcement of restrictions that will likely be implemented.
Earlier, reports had emerged saying that the Dutch and Japanese export controls against China, on the lines of Washington, may be finalised by the end of January.
The leaders of three countries, Prime Minister Fumio Kishida of Japan, Prime Minister Mark Rutte of the Netherlands and the US President Joe Biden had reportedly discussed the plans to impose export controls against China earlier in the month.
“I am fairly confident we will get there,” Mark Rutte, the Netherlands Prime Minister was quoted as saying by Bloomberg from the sidelines of the World Economic Forum in Davos, Switzerland.
What does it mean for China?
The US has limited the exports of American-made machinery and has also restricted the US citizens from working with the Chinese chip maker companies.
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The report by Bloomberg says that while Japan and the Netherlands may not go as far as the US restrictions against China, it will still make Beijing even more cut off from the technology to build the most advanced kinds of semiconductors once all three countries act in coordination.
The US has the world’s biggest group of chip-gear makers. At the same time, the Netherlands-based companies control the market for a technology necessary in producing the electronic components. Japan, too, has companies that rival the US in chip-gear technology dominance. Without the three, Chinese companies may find it nearly impossible to build production lines for advanced chip manufacturing.
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