News: 0180490731

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China Demands Netherlands 'Correct Mistakes' Over Seized Chipmaker as Auto Supply Crunch Deepens (cnbc.com)

(Wednesday December 31, 2025 @11:40AM (msmash) from the tussle-continues dept.)


China's Commerce Ministry on Wednesday demanded that the Netherlands " [1]immediately correct its mistakes " over chipmaker Nexperia, escalating a standoff that has [2]disrupted global semiconductor supply chains and triggered warnings from automakers about component shortages. The Dutch government in September invoked a Cold War-era law to effectively seize control of the Chinese-owned chipmaker, reportedly after the United States raised security concerns. China responded by blocking Nexperia products from leaving the country.

Nexperia manufactures billions of foundation chips -- transistors, diodes and power management components -- that are produced in Europe, assembled and tested in China, and then re-exported to customers worldwide. These low-tech, inexpensive chips are essential in almost every device that uses electricity, from car braking systems and airbag controllers to electric windows and entertainment systems.

The Commerce Ministry spokesperson said the Netherlands "remains indifferent and stubbornly insists on its own way, showing absolutely no responsible attitude towards the security of the global semiconductor supply chain." Dutch Economy Minister Vincent Karremans has repeatedly defended the intervention. Auto industry groups have warned that disruptions have not been fundamentally resolved. Japan's Nissan and German supplier Bosch have flagged looming shortages, and the German Association of the Automotive Industry warned of elevated supply risks "particularly for the first quarter" of 2026.



[1] https://www.cnbc.com/2025/12/31/china-accuses-netherlands-of-making-mistakes-over-chipmaker-nexperia.html

[2] https://slashdot.org/story/25/11/28/1636212/china-netherlands-chip-fight-turns-into-corporate-civil-war



Good plan (Score:3, Insightful)

by Tailhook ( 98486 )

Europe should indeed correct its mistakes. Mistake #1 being evolving into the planet's "bedroom community" where nearly everything of value is made elsewhere, by others.

Re:Good plan (Score:5, Interesting)

by dunkelfalke ( 91624 )

There is plenty of manufacturing in the EU. More than in the USA, both in absolute numbers and as a GDP percentage. Why do you think the orange shitgibbon whines about trade deficit with the EU?

Re: (Score:2)

by unixisc ( 2429386 )

Precisely! Nexperia should start manufacturing either in Europe/Netherlands, or failing that, at least in countries that are not allied to China. Like Taiwan, Japan, US, even India

Re: (Score:2)

by golodh ( 893453 )

Apparently Europe is working to correct its mistakes and take back control of its strategic production lines. Just like the US.

Problem is: Europe's got a lot of ground to cover, they don't have a single government, and they're less prone to use import tariffs as a blunt instrument in every trade dispute.

Perhaps because they have more to lose and can inflict less pain on their trade partners than the US can.

Re: (Score:1)

by greytree ( 7124971 )

It's fine to export the bottom-level production, as Europe has done.

But it's not so smart to import the bottom-level economic migrants and their bottom-level social attitudes.

Summary lies by omission (Score:2)

by Luckyo ( 1726890 )

What actually happened is that Dutch grabbed the HQ. I.e. the company bureaucracy.

Actual production, specifically everything but wafer supply is in PRC. Wafers are easily sourced elsewhere, which is what Nexperia China did. They're now de facto their own company that is supplying clients on its own, with no real input from Europe.

Dutch already admitted publicly that they didn't think this grab through. Minister responsible went on an interview and stated he didn't expect Chinese to do anything but surrender

Re: (Score:2)

by Njovich ( 553857 )

This is total nonsense . The whole point of splitting out NXP was to combine all kinds of basic semiconductor stuff like diodes and mosfets. None of this was ever incredibly hard to replace and that wasn't the point. The thing was just to create decent quality large volume basic semiconductors.

Let set the context here a little bit. What happened was that the then-CEO of NXP Zhang Xhuezheng, was suspended from his company through the dutch legal system. He illegally and without proper structure tried to move

Re: (Score:2)

by Njovich ( 553857 )

Just a little correction: NXP is the original company where Nexperia was split out of. Zhang Xhuezheng was CEO of Nexperia, not NXP.

Re: (Score:2)

by hyades1 ( 1149581 )

Thanks for the education.

They seized a fab (Score:2)

by _merlin ( 160982 )

The Dutch government seized a fab. It was a former NXP (i.e Philips spinoff) fab that they sold off as Nexperia when they got out of the discrete and standard logic business after merging with Freescale. They also sold off their RF power component business, which became Ampleon.

No evidence of US involvement (Score:2)

by Njovich ( 553857 )

> reportedly after the United States raised security concerns.

It should be noted that these reports were purely speculative.

The minister involved has explicitly stated in an official statement to parliament that the US did not ask for this move and that there were no talks with the US about this in the leadup to the ban. While it is possible that he is lying, getting caught in a lie about that would be career suicide and he could have easily said that he cannot provide information about that because of nati

Once upon a time, it was believed that... (Score:2)

by MpVpRb ( 1423381 )

...increasing trade between nations would reduce conflict.

Then governments started using trade as a weapon

You will receive a legacy which will place you above want.