Chinese-owned chipmaker Nexperia invests $200 million in European expansion

By Toby Sterling

AMSTERDAM/HAMBURG (Reuters) - Nexperia, one of the world's largest makers of basic semiconductors such as diodes and transistors, said on Thursday it would invest $200 million to expand capacity at its main production site in Hamburg, Germany.

The investment by Dutch-headquarted Nexperia, owned by Chinese electronics maker WingTech, is a rare example of a computer chip investment made in Europe without assistance from state subsidies under the EU's Chips Act launched in 2023.

It also comes as the European Union is considering whether China is unfairly subsidising domestic Chinese production of "legacy" chips, found in cars and household appliances, such as those made in Europe by Nexperia.

Electric cars, "green energy and digitalization are inconceivable without our products," CFO Stefan Tilger said in a statement announcing the investment decision. "They are the nuts and bolts that make new technologies possible."