China slams Netherlands for chip supply snarls tied to Nexperia

"A dispute between Amsterdam and Beijing over technology transfer has held up chip supplies to car manufacturers. The Chinese government has slammed the Netherlands over its seizure of chipmaker Nexperia, blaming it for jamming up a resolution to a dispute that has disrupted car sector supply chains, hit production and caused some firms to furlough staff. Nexperia, Chinese-owned but based in the Netherlands, makes billions of simple but ubiquitous chips for cars and other electronics."

"After positive signals in talks over the weekend, the Chinese commerce ministry issued a strongly worded statement on Tuesday telling the Netherlands to stop interfering in Nexperia's internal affairs. The Dutch side persists in its unilateral course without taking concrete actions to resolve the issue, which will inevitably deepen the adverse impact on the global semiconductor supply chain, the ministry said in a statement."

"The Dutch government took control of Nexperia on September 30, saying its Chinese owner Wingtech was planning to move the company's European production to China and that this would pose a threat to European economic security. China responded by cutting off exports of the company's finished chips, which are mostly packaged in China. It said this weekend it would begin accepting applications for exemptions, following a meeting between United States President Donald Trump and Chinese President Xi Jinping."

A dispute between Amsterdam and Beijing over technology transfer has blocked deliveries of basic automotive chips produced by Nexperia. Nexperia is Chinese-owned but based in the Netherlands and supplies billions of simple chips for cars and other electronics. The Dutch government seized Nexperia on September 30, citing plans by owner Wingtech to relocate European production to China and invoking a Cold War-era law. China cut off exports of the company's finished chips, most packaged in China, and said it would begin accepting exemption applications after a meeting between US and Chinese leaders. Talks between both governments remain under way.

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