Notably, SMIC’s N+1 does not use extreme ultraviolet lithography (EUVL), so the fab company does not need to procure further expensive equipment from ASML. Which isn’t to say that the company hasn’t considered EUV – the company did acquire an EUV step-and-scan system – but it has not been installed, reportedly because of restrictions imposed by the US. As a result, it will be SMIC’s N+2 that will use EUV.

Source: SMIC Details Its N+1 Process Technology: 7nm Performance in China