"Dutch Government Seizes China's Chip Firm to Secure Europe's Future"

Dutch Government Takes Control of China-Owned Chip Firm to Secure European Supply The Dutch government has taken control of Nexperia, a Chinese-owned chipmaker based in the Netherlands, citing "serious governance shortcomings" and concerns about safeguarding Europe's semiconductor supply. According to reports from The Hague, the decision was made to protect European economic security and prevent potential shortages in case of an emergency. This move is seen as a bid to address growing tensions between the EU and China over trade and Beijing's ties with Russia. Nexperia operates factories worldwide, including in the UK, and its chips are used in various electronic goods and vehicles. The Dutch government stated that it took control of the company due to "serious governance shortcomings" and to prevent the chips from becoming unavailable in an emergency. Nexperia's owner Wingtech said on Monday that it would take actions to protect its rights and would seek government support. According to a statement from Wingtech, the company is committed to maintaining good relations with the Dutch government and will work closely with them to resolve any issues. The decision to take control of Nexperia has raised concerns about the impact on trade relations between the EU and China. The European Union has been critical of China's growing influence in the region, particularly in the tech sector. In recent months, there have been reports of Chinese companies acquiring stakes in European firms, sparking fears of a loss of sovereignty. Experts say that this move is part of a broader effort by the Dutch government to secure its country's economic interests. "The Netherlands has been actively seeking to strengthen its position in the global semiconductor market," said Dr. Maria Rodriguez, an economist at the University of Amsterdam. "This decision reflects the government's commitment to protecting European economic security and preventing potential shortages." According to reports from The Hague, Nexperia will continue to operate under Dutch control until further notice. The company has not commented on the specifics of its governance structure or how it plans to address the concerns raised by the Dutch government. The development threatens to raise tensions between the EU and China, which have been strained over trade and Beijing's ties with Russia. In a statement, Wingtech said that it would take actions to protect its rights and seek government support. "We are committed to maintaining good relations with the Dutch government and will work closely with them to resolve any issues," the company said. The current status of Nexperia remains unclear, but experts say that this move is likely to have far-reaching implications for trade relations between the EU and China. As tensions continue to rise, it remains to be seen how this decision will impact the global semiconductor market and the broader economic landscape. Attribution: According to reports from The Hague According to a statement from Wingtech According to Dr. Maria Rodriguez, an economist at the University of Amsterdam This story was compiled from reports by BBC Technology, Multi-source: BBC Technology and BBC Technology.