China begins full-scale production of domestically made DUV lithography equipment, accelerating semiconductor self-reliance against U.S. sanctions

A Shanghai-based state-backed company in China has begun producing immersion DUV lithography tools.

Small initial shipments are planned this year for SMIC, Hua Hong Semiconductor and CXMT.

China still trails ASML in performance and scale, but has achieved partial localization and is also developing EUV.

The move could reduce China’s dependence on foreign chipmaking equipment and reshape the long-term supply chain.