Shares of KLA declined 6% in after-hours trading Thursday after the company posted a profit miss in its fiscal second quarter amid weaker demand levels.

They included a unit of Taiwanese chip material reseller Topco Scientific and a subsidiary of Taipei-based L&K Engineering, according to a Bloomberg News investigation. Across town at another Huawei-affiliated site, Bloomberg identified workers from a subsidiary of construction specialist United Integrated Services (UIS).

Singapore is benefiting from the US-China discord in at least one respect: semiconductor sales.

The Japanese government is drawing up plans to impose export restrictions on advanced semiconductor-making machines, Kyodo News reported. The move reflects a US-led deal with Japan and the Netherlands to limit the development of China's advanced semiconductor industry.

US chip toolmaker KLA will cease offering some supplies and services from Wednesday to China-based customers including South Korea's SK Hynix in compliance with recent US regulations, a source familiar with the situation said on Tuesday.

Tighter restrictions on US semiconductor and equipment sales are set to test China's artificial intelligence superpowers as Washington removes a key plank of next-generation technological development.

The US is pushing the Netherlands to ban ASML Holding from selling to China mainstream technology essential in making a large chunk of the world's chips, expanding its campaign to curb the country's rise, according to people familiar with the matter.

ASML said Zongchang Yu, a former employee, had transferred trade secrets to Dongfang Jingyuan Electron, a Chinese company supported by the country's Communist party.

At first blush, ASML's numbers look disappointing. But they're actually pointing to the same challenge and opportunity TSMC outlined last week: demand is so strong that it's tough to keep up.

ASML has warned that an affiliate of a China company it previously accused of stealing its trade secrets has begun marketing products that could infringe on its intellectual property rights.

Heavy investment is needed to increase capacity in the semiconductor industry and there is no immediate danger of oversupply, the CEO of Dutch semiconductor equipment maker ASML said on Wednesday.

Huawei's chip design arm has struck a deal aimed at building up its domestic supply chain, a local partner said on Tuesday, in a first public move against a US clampdown aimed at cutting its access to vital technology.

A surge in demand for various chips is causing select shortages and extended lead times for many types of 300mm semiconductor equipment, photomask tools, wafers, and other products.

Chipmaking equipment supplier BE Semiconductor said on Friday it planned to boost its operations in the United States and Taiwan as its top customers ramp up investment to meet a surge in chip demand.

Applied Materials on Thursday forecast second-quarter revenue above market expectations, as demand for its semiconductor manufacturing tools picked up during a global shortage of semiconductors.

Applied Materials has raised its offer for KKR & Co.-owned Kokusai Electric by 59%, citing higher valuations in a growing industry. It also extended the closing deadline by almost three months.

Semiconductor equipment maker ASML Holding NV on Wednesday posted a better-than-expected quarterly earnings and forecast a double-digit growth for next year on strong end-demand for electronics devices.

Applied Materials forecast fourth-quarter revenue above analysts' estimates on Thursday as demand rebounds for semiconductor equipment and services from the coronavirus-driven slump, and predicted sustained spending into 2021.

The Bureau of Industry and Security (BIS) has announced plans to protect US national security by restricting Huawei's ability to use US technology and software to design and manufacture its semiconductors abroad.

The rollout of 5G telecom networks helped semiconductor equipment maker ASML (ASML.AS) beat second-quarter forecasts on Wednesday despite weak demand in the memory chip market.

The US company aims to purchase all of the former Hitachi group member from American private equity group KKR by the end of the year, according to sources familiar with the negotiations.

"The suggestion that we were somehow victim of a national conspiracy is wrong. The facts of the matter are that we were robbed by a handful of our own employees based in Silicon Valley, who had broken the law to enrich themselves. All of this occurred several years ago. We found this out by ourselves and immediately sought legal action in public court in 2016. This was reported on in several publications after our victory in November 2018," said ASML president and CEO Peter Wennink.

China's chip equipment makers are seeing an uptick in domestic demand thanks to the trade war, giving them an opportunity to finally gain ground on global rivals like Applied Materials and Tokyo Electron.

Micro semi, the largest US commercial supplier of military and aerospace semiconductor equipment, is exploring its options, including a possible sale, after it received a takeover approach, a person familiar with the matter said on Tuesday.

Beijing-based Naura Microelectronics Equipment has completed a deal to buy US semiconductor manufacturing equipment company Akrion Systems.

The Dutch maker of lithography systems said on Wednesday its outlook for 2018 had been bolstered by a growing backlog of orders. Its products play a decisive role in shrinking the size of chips so as to cram ever more circuits onto them.

Citing national security concerns, a US semiconductor-testing company, Cohu, is mounting a quiet campaign to derail the planned US$580 million sale of an American rival, Xcerra, to a Chinese state-backed group, according to documents reviewed by WSJ.

ASML's forecast for its first-quarter profitability has topped analysts' estimates, as Europe's largest semiconductor-equipment maker won orders for six more of its newest lithography machines in the fourth quarter.

Nikon plans to eliminate about 1,000 jobs in Japan, or 10% of its domestic workforce, as the company shifts resources away from once core businesses to medical devices and other growth areas.

Tokyo Electron and Disco appear to have logged record sales in China in the six months through September.

Lam Research and KLA-Tencor called off a planned $10.6 billion merger announced nearly a year ago, citing opposition by the Justice Department on antitrust grounds.

Orders for semiconductor-manufacturing equipment are picking up at seven major Japanese producers, underpinned by brisk demand for 3D memory and ravenous investment in chip miniaturization.

Applied Materials on Thursday said orders reached another record high in its third quarter, following a 15-year high the previous three months, as profit surged, stirring hope for robust results in coming quarters.

Applied Materials said orders hit a 15-year high in its latest quarter, prompting the maker of semiconductor manufacturing tools to project a major rebound in its business later in 2016 as those transactions are completed.

ASML forecast rising sales for this quarter, while predicting pressure on earnings as the introduction of new technology boosts costs.

Applied Materials, the largest maker of machinery used to produce computer chips, rose the most since August after giving a first-quarter forecast that may meet analysts' estimates as orders from chipmakers showed signs of improvement.

Applied Materials dropped to its lowest price since December 2013 after forecasting fiscal fourth-quarter sales that trailed analysts' estimates.

"We expect to see continued overall business strength in the second half of 2015 due to increased demand from memory and foundry customers compared with our previous expectations," ASML president and CEO Peter Wennink said.

Applied Materials is using an industry trade show this week to try to persuade analysts that the company will be just as well off without merging with fellow tool-maker Tokyo Electron.