China is advancing in semiconductor technology with a prototype extreme ultraviolet (EUV) chipmaking machine, according to two Reuters sources. While it hasn't produced a working chip yet—expected by 2028 or 2030—it has managed to create EUV light, a critical component for chip manufacturing. This development is significant because the West, particularly companies like ASML, has maintained a monopoly on advanced chipmaking. Former ASML employees reportedly reverse-engineered the technology to create the machine for China, suggesting that China is closing the gap faster than previously thought. Despite the progress, the Chinese machine is described as "crude" compared to ASML's equipment and is still a long way from achieving the operational efficiency needed for mass production. The last statements from ASML's leadership indicated China was 10 to 15 years behind in chipmaking capabilities. The U.S. has heavily influenced global semiconductor supply chains, having restricted EUV machine exports to China. This control is evident in the fact that ASML has never sold an EUV system to any Chinese customer. China's ambition is clear: it seeks complete independence from U.S. technology in chipmaking. This goal has led to secrecy and a clandestine atmosphere around the development of their EUV machine, with ex-ASML workers using aliases to protect their identities. The geopolitical implications are substantial, as the balance of power in semiconductor production could shift if China successfully develops its own advanced manufacturing capabilities.