China will exempt some Nexperia chips from an export ban that was imposed amid an escalating row with the Dutch government, officials said on Saturday. "We will comprehensively consider the actual situation of enterprises and grant exemptions to exports that meet the criteria," the Chinese Commerce Ministry said in a statement. Nexperia produces components in Europe before sending them to China for finishing and then re-exporting them back to customers in Europe. The Netherlands-based company is owned by China's Wingtech Technology.
Nexperia, the EU-based automotive chipmaker at the centre of a geopolitical dispute, has suspended supplies to its Chinese factory, stepping up a trade war that threatens to halt production at carmakers around the world. The company wrote to customers this week informing them all supplies to a Chinese plant had been suspended. In September, the Netherlands used national security laws to take control of the chipmaker, citing concerns that its Chinese owner, Wingtech Technologies, was planning to shift intellectual property to another company it owned.