Dutch Reverses Course, Returns Control of Chinese Chipmaker Nexperia
The Netherlands has ended its temporary nationalization of the Chinese-owned chip manufacturer Nexperia, citing successful, "constructive meetings" with Beijing authorities.
The Netherlands has ended its temporary nationalization of the Chinese-owned chip manufacturer Nexperia, citing successful, "constructive meetings" with Beijing authorities. Economy Minister Vincent Karremans announced the decision, signaling a de-escalation of a dispute that had strained diplomatic relations and impacted European auto production.
Last month, the Dutch government had invoked a Cold War-era "Goods Availability Act" to seize supervisory control of the Dutch-based firm. The move was justified by "serious governance shortcomings" and fears that essential chip-making capabilities could be moved outside the EU, posing risks to the bloc's economic and technological security.
The seizure prompted a strong reaction from Beijing, which retaliated by imposing restrictions on Nexperia's exports from China—a significant blow, as this represents about half of the company's total output. The resulting supply disruption forced several European auto plants to cut production.
In a statement released on Wednesday, Minister Karremans announced the suspension of the supervisory order as a "show of goodwill" following productive talks. He noted that Chinese authorities had taken recent steps to ensure a stable supply of chips to Europe.
"In light of recent developments, I consider it the right moment to take a constructive step by suspending my order under the Goods Availability Act regarding Nexperia," Karremans stated.
The minister confirmed that discussions between The Hague and Beijing regarding the matter will continue.
This incident occurred amidst broader escalating trade tensions between the EU and China. Brussels has accused Beijing of dumping industrial goods like EVs, batteries, and solar panels, and of state-backed overproduction that harms European manufacturers. Beijing has firmly rejected these claims, accusing the EU of protectionism.
The wider trade conflict has recently intensified:
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The EU launched multiple trade probes into Chinese-made electric vehicles and green technology components, drawing warnings from Beijing about potential supply chain disruption.
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China responded by expanding export controls on critical materials, including rare earth elements and permanent magnets, a move expected to challenge Europe's auto and electronics sectors.
Reports suggest that the initial Dutch takeover of Nexperia was influenced by heavy pressure from the United States, which has been actively urging its European allies to limit China's access to advanced semiconductor technology.




