Huawei says China-made EUV tools are in making for advanced chips - Huawei Central

Huawei's statement is not about 'building an EUV tool' — it is about a production line that works. The engineering chain from CO₂ laser source to mask alignment has crossed the lab-to-fab threshold. Two impact axes follow: upstream, subsystem localization erodes ASML's moat from whole-machine monopoly to component premium; downstream, the 'packaging-as-substitute' strategy (CoWoS, 2.5D/3D) loses strategic weight, redirecting capex back to front-end fabs. On compliance, if Washington confirms production capability, the 'preemptive blockade' logic collapses. Expect controls to ratchet forward to DUV immersion and critical components within 12 months, lifting global fab compliance costs by 15-25%. Strategically, ASML's rational move is not price competition but accelerating the High-NA (0.55 NA) exclusivity window, pushing the competitive axis below 2nm. TSMC and Samsung will likely shift advanced-node capacity toward the US and Japan within 18 months to hedge single-supplier risk. The 12-24 month tail: the EUV market bifurcates for the first time — ASML serving sub-5nm frontier, a China-track covering 7-14nm. This is not catch-up. It is the beginning of a structural market split.