Oct. 13 (UPI) -- The Dutch government has taken control of a Chinese chip-making company based in the Netherlands to safeguard the country's access to semiconductors amid global trade tensions.
Nexperia, a division of China's Wingtech Technology, produces chips used in automotive, consumer electronics and other industries. It's vital for maintaining Europe's tech supply chains.
On Sunday, the Dutch Ministry of Economic Affairs announced in a statement that it invoked the Goods Availability Act "due to serious governance shortcomings at semiconductor manufacturer Nexperia. ... The decision aims to prevent a situation in which the goods produced by Nexperia (finished and semi-finished products) would become unavailable in an emergency. The company's regular production process can continue."
It didn't elaborate on what "shortcomings" caused the move, except to say, "These signals posed a threat to the continuity and safeguarding on Dutch and European soil of crucial technological knowledge and capabilities. Losing these capabilities could pose a risk to Dutch and European economic security."
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