The Dutch government has taken control of the chipmaker Nexperia, marking a new escalation in the ongoing technology tensions between Western countries and China.
According to the Ministry of Economic Affairs in The Hague, the decision was based on "serious governance shortcomings" and "recent and acute signals" within Nexperia that "posed a threat to the continuity and safeguarding on Dutch and European soil of crucial technological knowledge and capabilities." The ministry said losing these capabilities could endanger Dutch and European economic security.
Nexperia, headquartered in Nijmegen, produces chips used in the European automotive and consumer electronics industries. The company has been majority-owned by China’s Wingtech Group since 2019. Wingtech originally acquired Nexperia in 2017 through a state-backed investor consortium for $2.75 billion.
The intervention was carried out under the Dutch Goods Availability Act (Wet beschikbaarheid goederen), passed on September 30, 2025, and made public on October 12. The measure aims to prevent a scenario in which Nexperia’s finished or semi-finished products would become unavailable during a crisis. The company’s regular production process can continue. The minister now has the authority to block or reverse company decisions if they are deemed harmful to the firm’s future as a Dutch and European enterprise or to the preservation of Europe’s critical semiconductor supply chain. The ministry emphasized that applying this act is "highly exceptional" and that it is not aimed at other companies, sectors, or countries.
Court removes Chinese leadership
A day after the government’s intervention, three European Nexperia managers filed an emergency petition with the Amsterdam Court of Appeal. The court responded by removing Chinese CEO Zhang Xuezheng from his roles as managing director and board member. On October 7, it appointed an independent, non-Chinese director with full decision-making authority. All Nexperia shares, except one, were placed under the supervision of a trustee, whose appointment is still pending.
Economic Affairs Minister Vincent Karremans now has the power to block or nullify decisions made by Nexperia’s management board.
Wingtech calls it a "geopolitically motivated intervention"
Wingtech criticized the government’s action and argued that the decision violates EU principles of fair competition and free trade and confirmed that it has appealed to Chinese authorities for support.
The move fits into a broader pattern of Western efforts to curb Chinese influence in the semiconductor industry. The United States added Wingtech to its restricted trade list in 2022, which limited access to sensitive technologies. In September 2025, the US Department of Commerce expanded these restrictions to include subsidiaries - among them Nexperia.
China later responded by imposing export controls on rare earth elements, essential materials used in semiconductors, wind turbines, and electric vehicles.
In an earlier case, the UK government blocked Nexperia’s acquisition of the Newport Wafer Fab plant in November 2022, citing national security concerns tied to Chinese ownership. Meanwhile, the Dutch firm ASML remains barred from exporting advanced chipmaking machines to China under US pressure.
