Chinese State-Owned Enterprise Begins Manufacturing DUV Lithography Equipment, Impacting Global Semiconductor Market
A Chinese state-owned enterprise has reportedly started manufacturing deep ultraviolet (DUV) lithography equipment, a significant development in the semiconductor industry. This market has been predominantly controlled by the Dutch company ASML. The Chinese company, based in Shanghai, plans to supply this equipment to domestic semiconductor manufacturers such as SMIC and CXMT. The production is in its early stages, with plans to produce approximately five units in 2026 and about 20 units in 2027. The move has already affected ASML's stock price, which fell by 7% following the announcement. The Chinese manufacturer is expected to take several months to verify the equipment's accuracy and reliability before it can be fully operational. Despite this development, ASML maintains a monopoly on extreme ultraviolet (EUV) lithography equipment, which is crucial for advanced semiconductor manufacturing processes. 
