Tokyo Electron is on course to widen its lead against Chinese chip tool makers despite the billions of dollars Beijing is mobilizing to catch up, according to the Japanese company¡¯s chief.

Toshiki Kawai shrugged off concerns about rising competition from China, adding that investors haven¡¯t adequately priced in Tokyo Electron¡¯s leadership in making machines that help process silicon into artificial intelligence chips. Technology at the Japanese company, whose main competitor is Applied Materials, is advancing at a pace that¡¯s faster than its Chinese rivals¡¯, due in part to close collaboration with contract chipmakers, the chief executive officer said.

¡°We have access to cutting-edge wafers, and our ability to provide cutting-edge process technology will become overwhelmingly faster than Chinese makers,¡± Kawai said in an interview. ¡°Because we have such a strong lineup of products, Tokyo Electron can be in alignment with a technology roadmap that spans 10 years alongside the world¡¯s leading device makers.¡±