China has called on the Netherlands to “immediately correct the errors” regarding Nexperia.
China is calling on the Netherlands to quickly rectify its “mistakes” regarding chip manufacturer Nexperia and warns that current policies are undermining the stability of the global semiconductor chain.
Conflict over technology
Following a decision by the Dutch government, The Hague took control of the company. This was reportedly due to security concerns from the US. China responded by blocking the export of Nexperia products from China. This caused problems for the international automotive industry, which relies on the company’s relatively simple but crucial chips. How long the control remains with the Netherlands is unclear.
According to a spokesperson for the Chinese Ministry of Commerce, the Netherlands must “immediately correct its mistakes” and remove the obstacles that undermine the recovery of the global supply chain, writes CNBC. Beijing accuses The Hague of a lack of responsibility towards the international industry.
The Dutch government went on the defensive, according to The Guardian. Minister of Economic Affairs Vincent Karremans (VVD) defended the intervention and emphasized the importance of national security.
Consequences for the automotive industry
Nexperia produces billions of foundation chips, which are in almost every electrical device. In cars, they are essential for braking systems, airbags and drive. Nissan and Bosch, among others, speak of looming shortages. The German automotive sector expects increased risks especially in the first quarter of 2026, which further increases the pressure for a diplomatic solution.
