China's homegrown chip tool threatens ASML dominance

China's launch of a homegrown advanced lithography chip printing machine threatens ASML's dominance in the DUV market. The European chip tool maker, recently Europe's most valuable listed company, has seen shares fall 10% in two days, wiping €60 billion off its market value. The move highlights ASML's squeeze between US export controls and China's push for technological independence. Analysts say Chinese tools have far to go to match ASML's capabilities, but export controls may drive Chinese chipmakers to accept domestic alternatives.