Recently, the Dutch government froze China Wingtech Technology’s control over its Dutch subsidiary Nexperia for national security reasons. The Chinese government simultaneously launched countermeasures and announced export restrictions on Nexperia, triggering a shock in the global automotive supply chain and raising the alarm again for material shortages.
The Wall Street Journal and other foreign media reported that the Dutch government recently took over control of Nexperia Semiconductor from its Chinese parent company Wingtech Technology for a period of one year in order to safeguard technological sovereignty. The Chinese government immediately placed Nexperia's packaging and testing plant in China on the export control list. Since Nexperia has a certain market share in the automotive chip market, especially basic semiconductor components, concerns about material shortages have increased, accelerating the trend of switching orders in the automotive supply chain.
Nexperia’s customers include Volkswagen, BMW, Mercedes-Benz and other first-tier European automobile brands. Fox said that Nexperia is an indirect supplier of the company and is not a direct purchaser. However, because its cooperative manufacturers may use Nexperia's components, it is actively evaluating potential risks of material shortages.
The European Automobile Manufacturers Association (ACEA) publicly expressed its position on the 16th, calling on the government to take rapid response measures, otherwise the European automobile manufacturing industry will be trapped in a material shortage dilemma, causing a major impact on the overall economy.
Further reading: The Dutch government intervenes in Nexperia and worries about the flow of technology to Chinese parent company Wingtech Technology