In a landmark decision, the Netherlands has seized control of Chinese-owned semiconductor manufacturer Nexperia, citing urgent national and technological security concerns. The Dutch government’s intervention marks one of the most aggressive moves yet by a European state to curb Chinese influence in strategic industries.
Announced on Sunday, the decision immediately sparked diplomatic tensions with Beijing, which denounced the action as politically motivated and discriminatory. The move is seen as part of Europe’s growing effort to protect critical supply chains and technological assets from foreign control, particularly in the sensitive semiconductor sector.
Dutch Government Invokes Emergency Powers
The Dutch Ministry of Economic Affairs confirmed that it used emergency powers under the Goods Availability Act on September 30 to take control of Nexperia. Officials described the measure as “highly exceptional,” usually reserved for times of war or extreme national crises.
According to the ministry, the intervention was prompted by what it called “serious governance shortcomings and actions” within Nexperia that threatened the protection of crucial chip-making know-how on European soil. The emergency powers allow the government to reverse or block corporate decisions deemed harmful to national interests while allowing day-to-day operations to continue.
Simultaneously, the Amsterdam Enterprise Chamber removed Nexperia’s Chinese CEO, Zhang Xuezheng, and appointed an independent non-Chinese director with decisive voting authority. This effectively stripped Chinese parent company Wingtech of nearly all its control over the company, leaving it with only one symbolic share.
In 2024, Nexperia generated roughly $2.06 billion in revenue and played a vital role in Europe’s chip production chain — especially for the automotive and consumer electronics sectors.
Wingtech Condemns ‘Discriminatory’ Move
Wingtech, a Shanghai-listed company, issued a fierce rebuke, labeling the seizure an act of “excessive intervention driven by geopolitical bias.” In a now-deleted WeChat post, the company accused Western executives and policymakers of exploiting geopolitical tensions to undermine Chinese enterprises abroad.
The company pointed to its contributions to the Netherlands, including paying €130 million in taxes over the past five years and expanding R&D investments by more than 150%. Wingtech also claimed credit for creating thousands of local jobs and adding nearly 1,000 new patents globally.
Despite those efforts, Dutch authorities remained firm in their stance that the move was necessary to safeguard domestic technological capabilities.
Aslo Read: Even after Stargate, Oracle, Nvidia, and AMD, OpenAI has more big deals coming soon, Sam Altman says
A New Precedent in Tech Geopolitics
Headquartered in Nijmegen, Nexperia employs more than 12,500 workers worldwide and manufactures critical discrete semiconductors such as diodes and transistors. Although it does not produce high-end chips like those made by Nvidia or AMD, its large-scale efficiency and high-volume output make it an indispensable player in Europe’s industrial supply chain.
The Dutch government’s move could set a precedent for other Western nations reviewing Chinese ownership in critical sectors. Analysts suggest this intervention may reshape future foreign investment rules and deepen tensions between China and the European Union.
As the semiconductor industry becomes an increasingly central battleground in global politics, the Netherlands’ bold step underscores a wider recalibration of Europe’s strategy, one that prioritizes sovereignty, security, and technological independence over short-term economic gain.
