Automotive, Netherlands-China clash: Nexperia chips alarm in Europe
The scenario of the ongoing cold war between Washington and Beijing over production and raw materials becomes more complicated. Current stocks, Acea pointed out, could be exhausted within a few weeks.
Key points
The clash between the Netherlands and China over control of the semiconductor manufacturer Nexperia opens up a critical front for the European automotive industry. After the Dutch government took temporary control of the company on 30 September for national security reasons, Beijing reacted by blocking exports of chips produced in China. A domino effect that threatens to put manufacturers such as BMW, Volkswagen, Mercedes and Stellantis, which are heavily dependent on Nexperia components for vehicle electronic systems, in trouble.
Acea, the European Automobile Manufacturers' Association, sounded the alarm: without an immediate solution, vehicle production in Europe could be disrupted, even severely. "Suppliers cannot build the necessary components without Nexperia chips," said Director General Sigrid de Vries, calling for 'a quick and pragmatic response' from the governments involved. Current stocks, Acea pointed out, could run out in a matter of weeks.
The Nexperia case and the new chip war
The Hague's intervention is one of the clearest signs of Europe's new approach to technological sovereignty. Founded in Nijmegen and once part of Philips, Nexperia is now 100% owned by the Chinese Wingtech group, which was placed on the US entity list at the end of 2024 that restricts access to US technologies.
The Dutch decision - which also led to the removal of the Chinese CEO - was justified by the need to 'avoid the loss of strategic expertise and technology to third countries'. The United States allegedly pushed European countries to act to contain Chinese expansion in the sector.
The action thrusts Nexperia into the heart of a new trade war between the world's two biggest economic powers, with Donald Trump intensifying pressure on strategic technologies and Beijing responding by restricting exports of rare earths, crucial raw materials for semiconductors and batteries.
