The Dutch government has informed Reuters that they are not including billions of euros in sales by technology giant ASML to China in their disclosures on sensitive goods exports, a policy decision that had not been previously disclosed.
This omission is significant because stakeholders relying on these disclosures, including experts and parliament, may be missing crucial information about the Netherlands' exports of goods with military applications.
ASML, a computer chip equipment manufacturer, reveals sales data for China amounting to over $7 billion in 2024 but doesn't specify the machinery sold by region. The type of lithography tool purchased by ASML's customers dictates the sophistication of the chips they can produce, making this information of both financial and military importance.
The Dutch government's choice to keep most of ASML's Chinese sales undisclosed was confirmed by the foreign ministry and dates back to September 2023. This decision was made when the Netherlands, following the U.S., introduced a national list of "dual use" items with military significance, focusing on ASML's DUV tools, requiring an export license. The more advanced EUV tools always mandated an export license.
The foreign ministry, in response to Reuters' queries, stated that while they must disclose licenses for EU-sensitive goods, such as EUV tools based on EU regulations, this obligation does not extend to DUV tools on the newly established Dutch list. They explained that "disclosing such information could reveal commercially sensitive business data of particular companies."
Critics like Frank Slijper from the peace organization PAX argue that disclosure obligations are essential for assessing military capabilities accurately to prevent conflicts. Slijper voiced concerns that increasing secrecy levels are not in anyone's interest.
A report by the Dutch government to parliament in November highlighted that China ranks sixth as a destination for Dutch "dual-use" goods, with sales totaling 253 million euros in 2023, slightly trailing Switzerland. Nevertheless, if ASML's "dual-use" sales were accounted for, China would have topped the list ahead of Taiwan, South Korea, the U.S., and Britain, according to Reuters' calculations.