Dutch delegation in China in effort to end the Nexperia dispute

Nexperia chips. Photo: Arie Kievit ANP/HH

A top level delegation from the economic affairs ministry is in China this week in an effort to end the dispute over chip maker Nexperia, owned by a Chinese company but “taken over” by the Dutch.

But according to the Guardian, the Chinese government has already expressed “extreme disappointment” with Vincent Karremans, the Dutch minister at the heart of the row.

Karrenmans told the Guardian in an interview last Thursday he hoped the spat “will serve as a wake-up call” over the dangers of depending on one country for essential tech or raw materials.

In September, 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.

Beijing then imposed an export ban on Nexperia chips, threatening to derail the European car market among others.

“China has noted the recent remarks made by Dutch minister of economic affairs Karremans in media interviews,” a Chinese government spokesman told the London-based paper.

“China expresses extreme disappointment and strong dissatisfaction with such remarks that confuse right and wrong, distort facts and persist in a single-minded course.

“The profound lesson this semiconductor supply chain crisis has taught the world is that administrative measures should not be used to improperly interfere with corporate operations.”

Earlier this month the Dutch government said expects chip deliveries from Nexperia’s Chinese factories to resume in the coming days, following what it described as “constructive” talks with the Chinese authorities.

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.

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