**Dutch Government Seizes Control of China-Owned Chipmaker Amid Trade Tensions**

*By Mudit Dube | Oct 13, 2025, 04:09 PM*

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The Dutch government has taken control of Nexperia, a Chinese-owned semiconductor manufacturer, amid escalating global trade tensions and growing national security concerns. Nexperia is a key supplier of chips to the European automotive and consumer electronics sectors.

The intervention was officially announced by the Dutch Minister of Economic Affairs on Sunday, marking a significant move in the ongoing scrutiny of foreign ownership in critical technology industries.

### Security Concerns Prompt Government Action

Invoking the “Goods Availability Act,” the Dutch government placed Nexperia under external management to prevent potential disruptions in the supply of vital goods during emergencies. This decision comes amid heightened trade tensions between the United States and China and follows Beijing’s recent tightening of rare earth element export restrictions—materials essential to European manufacturing.

### Governance Issues at Nexperia

The Dutch authorities cited “recent and acute signals of serious governance shortcomings and actions” within Nexperia as a key reason for their intervention. These deficiencies reportedly threaten the continuity and protection of crucial technological expertise and capabilities within both the Netherlands and Europe.

This move reflects increased government vigilance over Chinese-owned entities operating in sensitive sectors such as semiconductor manufacturing.

### Market Impact

Following the announcement, Wingtech Technology Co., the Chinese parent company that acquired Nexperia for $3.6 billion in 2019, saw its shares fall by the daily limit of 10%.

Despite the government’s intervention, Nexperia is allowed to continue its regular production. However, the Dutch government now holds the authority to block or reverse company decisions. Additionally, Wingtech has been ordered to suspend any changes to Nexperia’s assets, business operations, or personnel for up to one year.

### Wingtech Responds to Government Measures

Wingtech has condemned the Dutch government’s action, describing it as an “excessive intervention driven by geopolitical bias, rather than a fact-based risk assessment.” The company maintains that it has “strictly abided by the laws and regulations of all jurisdictions” and operates with transparency at its sites in the Netherlands, Germany, and the United Kingdom.

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The Dutch government’s seizure of Nexperia highlights the increasing tensions and complexities surrounding foreign investments in strategic industries amid shifting global power dynamics.
https://www.newsbytesapp.com/news/business/dutch-government-takes-control-of-chinese-owned-semiconductor-manufacturer-nexperia/story