The Chinese owners of chip company Nexperia have accused the Dutch government of “interference” and have called on the state to return the company to their control.

“Only then can the Netherlands “begin to repair its reputational damage, ease international tensions and safeguard its own and Europe’s economic security,” Wingtech said in an official response to the Financieele Dagblad.

In September, economic affairs minister Vincent Karremans intervened in Nexperia under a national security law that allows the economic affairs ministry to block or reverse company decisions in exceptional cases. Karremans said the measure was taken to safeguard chip supplies for the Dutch and European industries.

Nexperia, based in Nijmegen, was taken over in 2019 by Chinese electronics firm Wingtech. It has a major production site in China, which makes around 50 billion chips a year.

Following the Dutch takeover, China imposed an export ban which means those chips can no longer leave the country and cutting off supplies to the European car industry.

In the statement, Wingtech accused the Dutch authorities of political interference in corporate governance and called on the government to “stop meddling in the judicial process”.

The company was referring to a case brought by Nexperia directors to Amsterdam’s company court. The court ruled there had been mismanagement by Chinese CEO Zhang Xuezheng, suspended him from his post and placed Nexperia’s shares under the control of an independent Dutch trustee.

Karremans has denied having any knowledge of the court proceedings, stating in a briefing to parliament that “the company itself, independently of my intervention, initiated an inquiry procedure… This procedure stands apart from my order.”

Wingtech also said Nexperia had invested $200 million last year to expand its factory in Hamburg, calling it proof of the company’s long-term commitment to Europe. “This fact directly contradicts the Dutch narrative,” the company said.

However, government sources told the FD the expansion has not yet started and that there were strong indications Nexperia planned to move production, and possibly all European R&D, to China.

Talks between the Dutch and Chinese governments on solving the situation are taking place at a high level but have so far made little progress, the FD said.