ASML Holding NV's stock surged 5.17% in pre-market trading on Thursday, marking a significant gain for the semiconductor equipment maker.

The sharp rise followed reports that the Dutch government is urging the United States not to expand export controls on microchip equipment in a way that would restrict ASML's sales to China. Dutch Trade Minister Sjoerd Sjoerdsma met with US officials to lobby against proposed legislation that would bar Chinese chipmakers from acquiring equipment from US-linked companies like ASML.

The recovery also appears linked to easing fears after both ASML and the Dutch government issued firm denials of allegations that EUV lithography equipment had reached China. China represents a significant market for ASML, accounting for 19% of the company's net system sales in the first quarter, making the protection of this market access crucial for future revenue prospects.