Nexperia chip supply, China and the Netherlands are working on a diplomatic solution to the crisis
The key issue is the corporate control of Nexperia, which belongs to the Chinese group Wingtech. The semiconductor manufacturer recently came under the control of the Dutch government (its HQs are located in Nijmegen, the Netherlands) for “national security reasons”. This prompted a reaction from the Chinese government.
China and the Netherlands are reportedly close to reaching an agreement that could put an end to the semiconductor dispute the sector has been discussing in recent weeks. The matter seriously threatens to paralyze the automotive production of some European brands.
The key issue is the corporate control of Nexperia, which belongs to the Chinese group Wingtech. The semiconductor manufacturer recently came under the control of the Dutch government (its HQs are located in Nijmegen, the Netherlands) for “national security reasons”. This prompted a reaction from the Chinese government, which blocked exports of components that are so essential to automotive production. The truck and van industry, of course, is also very interested in this issue.
Nexperia chip crisis affecting the whole automotive industry
Now, according to press reports, the two companies are close to resolving the standoff, with the imminent resumption of exports of chip subcomponents from China to Europe. According to Dutch authorities, the takeover of Nexperia was motivated by mismanagement on the part of the company’s Chinese leadership. Apparently, the government’s intervention in Nexperia was not a measure directed against China.
If this is the case, the entire automotive industry can breathe a sigh of relief. However, it should be noted that the interruption in supplies will anyhow have an impact on the supply chain, with repercussions on vehicle delivery times.
