Dutch Authorities Seize Chinese Chipmaker Amid U.S. Pressure: POLITICO

The Dutch authorities recently took control of Nexperia, a chip manufacturing company located in Nijmegen, Netherlands. This decision, made in September, was influenced by increasing U.S. pressure on foreign companies associated with China.

Background on Nexperia

Nexperia has been under scrutiny following its acquisition by Chinese company Wingtech in 2019. Since then, the U.S. has expressed concerns regarding its operations and management.

Government Action and Control

• The Dutch government announced it seized control of Nexperia in September 2023.
• The company is restricted from making major decisions without prior approval for one year.

U.S. Pressure and Export Controls

The U.S. government highlighted that Nexperia’s CEO, still a Chinese national, poses concerns. To qualify for an exemption from the U.S. entity list, a change in leadership may be required. In late September, the U.S. implemented export controls against Nexperia due to its ties to Wingtech, which has been on the U.S. entity list since December 2022.

Official Responses

Despite assertions of U.S. influence, Aukje de Vries, the Dutch Secretary of State for Foreign Trade, stated that the decision was made independently. “We take our own decision on this,” she remarked during an EU trade ministers meeting.

China’s Countermeasures

• On October 4, China responded with its own export controls targeting Nexperia China and its subcontractors.
• The ban includes specific components produced in China.

Reactions from Wingtech

Wingtech condemned the Dutch government’s intervention, labeling it as excessive interference. The company argued that political motives, rather than factual assessments, guided this decision. They have sought assistance from the Chinese government in this matter.

This ongoing situation highlights the tense relationship between U.S. and Chinese interests in the global semiconductor industry. As countries impose stricter controls, the future of international collaboration in technology sectors remains uncertain.