China–Netherlands Chip Dispute Escalates Over Nexperia Control


BEIJING – China has sharply criticised the Netherlands over its handling of Nexperia, urging Dutch authorities to reverse what Beijing calls “serious mistakes” that risk destabilising the global semiconductor supply chain. The warning highlights growing tensions between the two countries as technology, security, and geopolitics collide in the chip sector.

China’s Ministry of Commerce said on Wednesday that restrictions imposed on Nexperia — a chipmaker owned by China’s Wingtech Technology — are undermining the stability of global chip production at a time when supply chains remain fragile. Beijing called on The Hague to lift what it described as “artificial barriers” and restore normal business operations.

The dispute centres on a decision made last September, when the Dutch government moved to take control of Nexperia, citing national security concerns. Although the order was suspended last month following diplomatic talks with China, the core measures remain in place, including a court ruling that removed Zhang Xuezheng, Nexperia’s Chinese executive, from his leadership role.


Beijing Warns of Supply Chain Fallout

Chinese officials argue that the Dutch intervention has already triggered real-world consequences. In retaliation, Beijing restricted exports of certain Nexperia chips, noting that a large share of the company’s finished semiconductors are packaged in China. While civilian-use chips were partially exempted from export limits last month, the broader message remains clear: China is prepared to respond if pressure continues.

According to the Commerce Ministry, prolonged restrictions could disrupt semiconductor logistics, increase costs, and create uncertainty for downstream industries such as automotive manufacturing, consumer electronics, and industrial equipment.

“Measures that politicise normal commercial activity only increase systemic risk,” the ministry said, warning that the Netherlands’ position could contribute to a wider crisis in the global chip ecosystem.


Dutch Government Defends Its Position

For its part, the Netherlands has pushed back against Beijing’s accusations. Vincent Karremans, the Dutch Minister for Economic Affairs, defended the intervention, insisting that the decision was based on national interests rather than external pressure. The Dutch government has also denied acting at the request of the United States, despite Washington’s broader efforts to limit China’s access to advanced semiconductor technology.

Meanwhile, Wingtech has confirmed it has opened discussions with the court-appointed trustee overseeing Nexperia, signalling that negotiations are ongoing even as political tensions escalate.


A Flashpoint in the Global Chip War

The Nexperia case reflects a broader struggle over technology sovereignty, foreign ownership, and supply chain security. Europe, the United States, and China are increasingly willing to intervene in semiconductor markets once governed mainly by commercial logic.

China warned that continued Dutch restrictions could set a dangerous precedent, arguing that excessive government intervention risks fragmenting the global semiconductor market at a time when cooperation is essential.

As chipmaking becomes ever more strategic, disputes like this one underline how deeply geopolitics is reshaping the future of the semiconductor industry.


Why This Matters for the Global Economy

  • Semiconductors underpin nearly every modern industry

  • Disruptions can ripple across automotive, AI, telecoms, and consumer tech

  • Political intervention increases uncertainty for investors and manufacturers

  • Emerging markets may face higher costs and delayed innovation


Frequently Asked Questions (FAQs)

What is Nexperia?

Nexperia is a global semiconductor manufacturer focused on essential chips such as diodes and transistors, widely used in automotive and industrial electronics.

Why did the Netherlands intervene?

The Dutch government cited national security concerns, arguing that foreign control of key semiconductor assets posed strategic risks.

How has China responded?

China criticised the move publicly and imposed export restrictions on certain Nexperia-related chips, while partially easing limits on civilian-use components.

Is the United States involved?

The Netherlands denies acting under US pressure, although the dispute unfolds amid broader Western efforts to curb China’s access to sensitive chip technology.

Could this affect global chip supplies?

Yes. Prolonged restrictions could disrupt global supply chains, raise prices, and slow production across multiple industries.


To better understand the geopolitical stakes behind the China–Netherlands semiconductor dispute, watch this analysis:

👉 https://www.youtube.com/watch?v=ZlZ6v6GkYcQ

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