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Dutch government seizes control of China-owned chipmaker amid trade tensions

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**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

Indian government may amend Companies Act to boost local auditors

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**Indian Government May Amend Companies Act to Boost Local Auditors**
*By Mudit Dube | Oct 13, 2025, 02:41 PM*

The Ministry of Corporate Affairs (MCA) is considering significant amendments to the Companies Act aimed at strengthening the position of domestic audit firms. This initiative is part of a broader effort to help Indian auditors compete more effectively with global giants such as Deloitte, PwC, EY, and KPMG. The proposed changes are expected to be introduced through the Companies Act Amendment Bill.

**Relaxing Partner Composition Norms**

One of the key proposals under consideration is the relaxation of partner composition norms for audit firms. Currently, Section 141(1) of the Companies Act mandates that a majority of partners practicing in India within an audit firm must be chartered accountants. The amendment seeks to modify this requirement to offer greater flexibility and encourage the growth of local firms.

**Tender Reforms to Increase Domestic Participation**

Apart from legislative changes, the government is also evaluating reforms in tender norms related to government audits. At present, large-value government audit contracts are predominantly won by international audit firms. To boost opportunities for Indian firms, the government plans to make participation of domestic auditors mandatory in government tenders and adjust eligibility criteria to widen the bidder base.

**Role of ICAI and Regulatory Alignment**

The Institute of Chartered Accountants of India (ICAI) has been engaged to help align regulatory frameworks with global best practices. As part of this collaboration, ICAI is finalizing a digital platform to facilitate mergers among CA firms, aiming to strengthen the domestic audit sector. These regulatory enhancements are expected to roll out in the coming months alongside the legislative changes.

**Proposed Amendments to Conflict-of-Interest Provisions**

In addition to partner composition reforms, amendments to Section 144 of the Companies Act are also being considered. Section 144 governs conflict-of-interest provisions, and the proposed changes intend to ensure the regulatory environment evolves in line with new business models in auditing and advisory services.

**Towards a Level Playing Field**

Collectively, these proposed amendments and policy initiatives are designed to create a more level playing field for Indian audit firms by enhancing their capacity to compete against international counterparts. The government’s focus on strengthening domestic capabilities signals a strategic move to nurture local talent and increase indigenous participation in the critical audit segment.

*Stay tuned for updates as the Companies Act Amendment Bill progresses through the legislative process.*
https://www.newsbytesapp.com/news/business/indian-government-may-tweak-companies-act-to-boost-local-auditors/story

CGHS rates revised after 15 years: How it affects you

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**CGHS Rates Revised After 15 Years: How It Affects You**
*By Mudit Dube | Oct 06, 2025, 05:28 PM*

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**What’s the Story?**

The Union Health Ministry has announced a significant overhaul of the Central Government Health Services (CGHS) scheme for the first time since 2014. The revised rates for nearly 2,000 medical procedures will come into effect from October 13, 2025.

This new rate structure takes into account several important factors, including accreditation status, hospital type, city classification, and ward entitlement, aiming to better reflect current healthcare realities.

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**Scheme Revamp: Addressing Complaints from Beneficiaries and Hospitals**

The revision comes amid growing complaints from CGHS beneficiaries about the denial of cashless treatment by empanelled hospitals. Many patients reported having to pay out of pocket and then wait months for reimbursement.

Hospitals, meanwhile, argued that the government-set package rates had become outdated and failed to keep pace with medical inflation over the past 11 years.

The newly introduced multi-dimensional rate structure seeks to address these issues, ensuring fair compensation for hospitals and smoother access to cashless treatment for patients.

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**New Rate Structure: Based on Ward Entitlement**

The revised framework applies to all categories of CGHS cardholders, with rates anchored to the cost of a semi-private room, which serves as the base package rate.

– **General Ward Entitlement**: A 5% reduction in rates applies.
– **Private Ward Entitlement**: Rates increase by 5% compared to the base.

Additionally, consultations at hospitals and healthcare organizations accredited by NABH or NABL will be charged at the standard base rate. Non-accredited healthcare organizations will have rates 15% lower than those for accredited hospitals.

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**City-Wise Rate Variations Introduced**

To accommodate geographical cost differences, the scheme now includes tier-wise rate variations for CGHS-empanelled hospitals located in Tier I, II, and III cities:

– Rates in **Tier II cities** will be 10% lower than in Tier I.
– Rates in **Tier III cities** will be 20% lower than in Tier I.

However, rates for radiotherapy, investigations, day-care procedures, and minor procedures that do not require hospital admission will remain consistent across all ward entitlements and city classifications.

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**Beneficiary Coverage and Implementation**

CGHS primarily serves central government employees, pensioners, and their dependent family members. As of October 5, 2025, the scheme covers approximately 4.26 million beneficiaries across 80 cities in India.

The Union Health Ministry has instructed all healthcare organizations under the CGHS network to submit an undertaking confirming their acceptance of the new rates’ terms and conditions by October 13. Failure to comply will result in de-paneling from the scheme.

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**What This Means for You**

If you are a CGHS beneficiary, the revised rates could affect the costs associated with your medical procedures depending on your ward entitlement, your city, and the accreditation status of the hospital you visit.

For hospitals and healthcare providers, accepting the new terms is mandatory to continue serving CGHS patients and to receive government reimbursements under the updated framework.

Stay informed and check with your CGHS-appointed healthcare provider about how these changes may impact your access to services and reimbursements going forward.
https://www.newsbytesapp.com/news/business/new-cghs-rate-structure-effective-from-october-13/story