China Export Curbs Threaten Global Auto Production

The Dutch government's seizure of chipmaker Nexperia from Chinese owner Wingtech — a move taken after U.S. pressure over intellectual-property and security concerns — prompted China to curb exports of finished Nexperia chips made in China, disrupting global auto supply chains. Nexperia has warned Japanese automakers it may no longer be able to guarantee chip supplies for vehicle electronic control units, prompting members of the Japan Automobile Manufacturers Association and other carmakers to seek mitigations. Volkswagen said production is currently unaffected but warned short-term impacts or stoppages cannot be ruled out, has held talks about state-backed short-time work, and reports have named Wolfsburg and Golf models as potentially affected. Automakers across Europe, Japan and the U.S., including Toyota, Honda, Nissan, BMW, Mercedes and GM, are scrambling to find alternatives, though re-homologation and ramp-up of replacements could take months and existing Nexperia stocks may run out within weeks. Industry groups and analysts say the episode underscores Europe’s heavy dependence on China for semiconductors and other critical components and are urging rapid diplomatic and practical solutions to avoid broader production losses.