Due to the US ban, ASML worked overtime for a year, did it deliver the 60 billion lithography machines owed to China ahead of schedule?
As we all know, due to the chip ban in the United States, many foreign semiconductor equipment manufacturers can sell more, because it will be difficult to ** the Chinese market by 2023, and then many equipment that can be sold may become more and more strict because of the ban, and there will be money to be made in advance, because it may be banned one day.
This is best illustrated by the example of ASML: in the first quarter of 2023, the Chinese market contributed 8% to sales, 24% in the second quarter, 46% in the third quarter, and unknown in the fourth quarter.
According to the report, ASML's annual sales in the Chinese market in 2023 will be about 55 billion to 60 billion yuan, compared to only 2.1 billion euros (about 17 billion euros) in 2022.
According to this calculation, ASML's sales in the Chinese market in 2023 may be more than three times that of 2022, with a growth rate of about 250%, and in reality there will be a year that will become the best year of the three years, earning about three and a half years in a year.
Why is ASML selling more products in 2023? Of course, I am looking for ASML to buy, because the Chinese market needs ah, and the crazy expansion of chip production lines requires a large number of lithography machines.
In October 2022 and October 2023, stricter and new bans have been implemented successively, but between January 1, 2024, the ban has not yet been fully put in place, so during this period, China needs to stock up on goods, and we will buy more lithography machines in the next few years.
ASML is also enough to cooperate, think about it, the total production capacity of ASML in 2023 has not increased much, and it will provide more than 3 times the goods to the Chinese market in 2022. It can be seen that ASML must work overtime at full capacity for lithography machine production, and must first transfer and give priority to other companies to transfer and give priority to Chinese customers, otherwise of course, we must first ** goods for so many goods, otherwise of course we can't ** so many goods.
ASML itself admits that by 2023, it will essentially owe all orders to its Chinese customers; ASML has said that it owes Chinese customers about 7 billion euros (about 60 billion yuan) in orders for lithography machines, which, according to normal logic, take 2-3 years to deliver, but ASML even said that it will complete the delivery of all products ahead of schedule in 2023.
The fulfillment of orders in China, as well as the order obligations of other customers around the world, has not yet been delivered, although some will take about a year to two years to complete, and the current total order value exceeds 20 billion euros (about 160 billion yuan), which is enough to make it clear that ASML will definitely be a priority delivery for Chinese companies in 2023.
The reason why ASML is doing this is also very simple: we have to try to cultivate relationships, because the Chinese market is big and has more potential in the future, and we need to be properly pleased, and within the limits of what the rules prohibit, be flexible and have no problem at all.
At the same time, after the ban, some photolithographs could not be sold in Chinese mainland, but they could be sold, and if they sold a little more, they said that the money was in hand, and the money would definitely be sold when they were in hand.
For orders from other countries and regions, a slight delay in the arrival time is not a problem.
So, to sum up, in the past three years that ASML has been making money in the Chinese market in 2023, many domestic chip companies are actually still very grateful to him, but this is interesting enough, enough friends, what do you think?