The Dutch government has assumed control of Nexperia, a Chinese-owned semiconductor manufacturer based in the Netherlands, to protect Europe’s chip supply chain and safeguard economic stability. Officials in The Hague stated that the intervention was necessary due to “serious governance shortcomings” within the company and concerns that semiconductor access could be jeopardized during emergencies.
Nexperia, owned by China’s Wingtech Technology, has been under increased scrutiny from Western governments over the past few years amid growing tensions between Europe and China. In response to the Dutch decision, Wingtech announced it would seek government support and explore legal options to defend its rights. The move underscores rising anxiety within the European Union about foreign influence over critical technologies and infrastructure.
The decision follows similar actions in other countries. In the UK, Nexperia was previously ordered to sell its Newport Wafer Fab facility over national security concerns. In the United States, Wingtech was added to the entity list in late 2024, restricting American companies from exporting technology to it without special authorization. These developments have placed the company at the center of a broader global debate on supply chain sovereignty and technology dependence.
The Dutch Ministry of Economic Affairs invoked the Goods Availability Act, a rarely used measure that allows government intervention in companies deemed vital to national interests. The ministry cited “acute signals” that Nexperia’s internal governance could pose a threat to the security of crucial technological expertise within the Netherlands and Europe. Under the order, the Dutch Minister of Economic Affairs, Vincent Karremans, now has authority to block or reverse company decisions that could undermine its operations or threaten chip supply continuity. Despite the intervention, the ministry confirmed that Nexperia’s production would continue as usual to avoid disruption in the semiconductor market.
Industry experts have described the move as a significant shift toward prioritizing economic security over free-market principles. Analysts say the Netherlands aims to prevent scenarios where a Chinese-owned firm might face pressure from Beijing to halt exports to Europe, potentially crippling industries that depend on steady chip supplies such as automotive and consumer electronics. The decision could also serve as a model for other European governments facing similar security concerns.
The China Semiconductor Industry Association expressed concern over the development, calling the action “selective and discriminatory” against overseas Chinese enterprises and warning that it could damage open trade. Meanwhile, Nexperia maintained that it complies with all international laws, export regulations, and sanctions. Wingtech, in a statement to investors, said operations were ongoing and it remained in dialogue with suppliers and customers, despite its chairman Zhang Xuezheng being suspended from Nexperia’s board by an Amsterdam court earlier this month.
The Dutch government’s decision is seen as part of a broader European strategy to reduce dependency on foreign technology sources and secure domestic semiconductor capacity. As global competition for chips intensifies, the Netherlands’ move signals a tightening of oversight over strategic industries linked to both economic resilience and national security.
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