ASML shares slide to lowest since June as China begins producing its own chipmaking machines

ASML Holding NV, the Dutch company that essentially holds the keys to advanced chipmaking, just watched its stock drop to levels not seen since June. The catalyst: a Chinese consortium reportedly began mass producing its own immersion deep ultraviolet lithography machines. For a company that has long enjoyed near-monopoly status in the most critical layer of semiconductor manufacturing, even a distant competitor turning on the lights is enough to spook investors. The report, surfacing on July 27, points to a state-backed group involving Shanghai Yuliangsheng, SiCarrier, and Huawei as the entities behind China’s push to build homegrown DUV lithography systems. The machines are slated for delivery to some of China’s biggest chipmakers, including SMIC, Hua Hong Semiconductor, and ChangXin Memory Technologies. ## What China is actually building The consortium is targeting roughly 5 machines delivered in 2026 and 20 in 2027. For context, ASML ships hundreds of lithography systems per year. The new Chinese machines are immersion DUV systems, not the extreme ultraviolet (EUV) systems that ASML uses to manufacture the world’s most advanced chips. DUV is the previous generation of lithograp...