U.S. House Revises Bill Targeting Chinese Chipmaking

Legislative leaders in the United States have revised a proposed bill intended to restrict the flow of semiconductor manufacturing equipment to China. The updated version of the Multilateral Alignment of Technology Controls on Hardware (MATCH) Act, while scaled back from its initial draft, continues to impose significant restrictions on advanced lithography technology. At the center of the legislation is a countrywide restriction on deep ultraviolet (DUV) immersion lithography machines, a critical technology dominated by ASML HOLDING NV. The company, which is headquartered in the Netherlands, has declined to comment on the latest legislative developments. The MATCH Act was introduced with bipartisan support to bridge gaps in existing export controls and align American policy with that of key allies, including Japan and the Dutch government. The primary objective is to maintain a competitive lead in artificial intelligence, which lawmakers believe will define the future global balance of power. The original version of the bill, introduced earlier this month, drew criticism from industry stakeholders who viewed the broad countrywide and company-specific restrictions as excessive. In response, the new substitute version offered by Republican Representative Michael Baumgartner removes certain provisions, such as countrywide curbs on cryogenic etch tools. These specific tools are produced by major manufacturers including California-based LAM RESEARCH CORP and TOKYO ELECTRON LTD. Despite these concessions, the bill remains focused on preventing foreign firms from supplying key Chinese chipmakers. Targeted entities include: ChangXin Memory Technologies (CXMT), Yangtze Memory Technologies (YMTC), and Semiconductor Manufacturing International Corporation (SMIC). The legislation would prohibit sales to facilities where Washington has already barred the use of American-made tools and requires licenses for servicing equipment at those sites. The MATCH Act also establishes a formal timeline for diplomatic negotiations with allied nations. If these negotiations do not result in aligned controls, the bill directs the U.S. government to impose its own restrictions. The Chinese government has voiced strong opposition to the proposed measures. > China opposes the USs overstretching the national security concept and using all sorts of pretexts to coerce other countries into joining its technological blockade against China, the spokesman, Liu Pengyu, said in a statement. The House Foreign Affairs Committee is scheduled to vote on the revised bill next Wednesday as part of a broader package of legislation addressing semiconductors, export controls, and artificial intelligence.