China Blames Netherlands for Prolonged Nexperia Chip Supply Crisis
China Blames Netherlands for Prolonged Nexperia Chip Supply Crisis

China Blames Netherlands for Prolonged Nexperia Chip Supply Crisis

News summary

China's Ministry of Commerce has sharply criticized the Dutch government for its unilateral seizure of the semiconductor company Nexperia, accusing the Netherlands of disrupting the global semiconductor supply chain by halting wafer supplies to Nexperia's Chinese operations. This move, driven by Dutch national security concerns and pressure from the U.S., led Beijing to impose export restrictions on chips made by Nexperia's Chinese facilities, threatening the supply chains critical to global carmakers such as Volkswagen, Honda, and Nissan. Despite China's decision to grant export exemptions and calls for constructive dialogue, the Ministry of Commerce accuses the Netherlands of interfering in corporate affairs and not taking concrete steps to resolve the issue, which risks escalating the crisis. The Dutch government maintains that discussions with Chinese authorities and international partners are ongoing to find a resolution beneficial to all parties. The dispute has raised fears of production halts in the automotive sector and increased tensions amid broader China-EU and China-Netherlands economic relations. Both sides face pressure to stabilize the semiconductor supply chain, which is vital for global industry and trade.

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