The Dutch company critical to China’s tech industry

Beijing is the site of a meeting between Chinese President Xi Jinping and Dutch Prime Minister Mark Rutte. Rutte’s visit holds significance due to his potential appointment as NATO Secretary General post his current term. However, China’s dependency on a Dutch company, ASML, is also a key factor in the importance of this meeting.

Despite playing a lower-key role as a trading partner with China, Rutte’s visit is particularly important to Beijing due to China’s dependency on ASML for lithography systems used in semiconductor chip production. As China and the US engage in an economic war over semiconductor industry dominance, the Netherlands’ alliance with the US led to restrictions on ASML’s export to China.

Xi Jinping and Li Qiang are trying to negotiate with the Dutch government to maintain repair services for ASML machines already in China. Despite facing challenges in circumventing the embargo, China wants to ensure continued technological development. Xi criticized Rutte’s decision to join the embargo, emphasizing China’s right to progress technologically and hinting at the country’s determination to advance despite limitations.

As tensions escalate between global powers over technological supremacy, Rutte’s visit holds strategic importance for both China and the Netherlands. The outcome of discussions between the leaders could impact the trajectory of global semiconductor industry dynamics and geopolitical relations.

Beijing has delegated some meetings with smaller delegations to its number two, Prime Minister Li Qiang, but high-profile guests like Dutch Prime Minister Mark Rutte are granted personal meetings with Xi Jinping as well.

China’s President Xi Jinping holds significant power and does not personally meet with every head of government that visits Beijing. Often, he delegates meetings to his number two, Prime Minister Li Qiang. This is especially true for smaller delegations. Only high-profile guests like Dutch Prime Minister Mark Rutte are granted personal meetings with Li Qiang before being able to meet Xi Jinping.

Rutte’s visit holds significance due to his potential appointment as NATO Secretary General post his current term. Despite typically playing a lower-key role as a trading partner with China, his visit is particularly important due to his country’s alliance with the US and their ongoing economic war over semiconductor industry dominance.

The Netherlands’ alliance with the US has led to restrictions on ASML’s export

By Riley Johnson

As a content writer at newsmol.com, I dive into the depths of information to craft compelling stories that captivate and inform readers. With a keen eye for detail and a passion for storytelling, I strive to create engaging content that resonates with our audience. Whether it's breaking news, in-depth features, or thought-provoking opinion pieces, I am dedicated to delivering high-quality, informative content that keeps readers coming back for more. My goal is to bring a fresh perspective to every article I write and to make a meaningful impact through the power of words.

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