The Netherlands has announced new rules restricting exports of certain semiconductor manufacturing equipment.
It follows pressure from the US to curb the sale of computer chip technology to China.
Although the Dutch government did not cite this as a reason, it said it had taken the step on national security grounds.
The Chinese government responded saying the decision was “not in the interests of any party” and would impact chip production and supply chains.
China’s foreign ministry spokeswoman, Mao Ning said China opposed the US’s “abuse of export controls” and its “use of various pretexts to win over and coerce other countries into imposing a technological blockade against China”.
The US is engaged in an arms race with China over control of the supply of semiconductors, especially certain computer chips used for supercomputing and artificial intelligence.
Such chips have created a $500bn industry that is expected to double by 2030 and it is thought that whoever controls the supply chains – the network of companies and countries that make the chips – holds the key to being an unrivaled superpower.
In October last year, the US imposed sweeping export restrictions on shipments of American chipmaking tools to China to prevent its technology from being used to strengthen Beijing’s military.
