China opposes Dutch government Nexperia takeover

China has voiced strong support for its electronics parts supplier Wingtech as it battles the Dutch government's decision to temporarily take control of Wingtech's European semiconductor unit, Nexperia, on national security grounds. China's semiconductor industry association opposes what it calls the "abuse of the concept of national security" to impose "selective and discriminatory restrictions" on Chinese firms' overseas operations.

Nexperia, a semiconductor company headquartered in Nijmegen, the Netherlands, produces chips for various industries, including automotive and consumer electronics, shipping over 110 billion products annually and generating $2.06 billion in annual revenue. On Sunday, the Dutch government invoked the Goods Availability Act, a 1952 law that had never been used before, taking control of Nexperia. Concerns over the loss of crucial technological knowledge and capabilities from the Netherlands and Europe are the reason for the intervention. The Dutch Ministry of Economic Affairs pointed to 'serious administrative deficiencies' within the company, a subsidiary of the Chinese technology firm Wingtech.

With this intervention, the Dutch government can now block or reverse decisions within Nexperia if they are deemed detrimental to the company's interests or the preservation of Europe's crucial value chain. The ministry emphasized that this action targets only this specific company and is not aimed at other companies, the sector, or other countries.

China's response to the Nexperia takeover

China has reacted strongly to the Dutch government's intervention. The state-backed China Semiconductor Industry Association (CSIA) voiced its firm support for Wingtech in defending its rights. The CSIA opposes the 'abuse of the concept of national security' to impose 'selective and discriminatory restrictions' on overseas branches of Chinese companies.

Echoing this sentiment, China's foreign ministry spokesman, Lin Jian, stated on Monday that China opposes "overstretching the concept of national security" and is firmly resolved to defend its legitimate rights and interests. The state-owned Global Times described the Dutch move as "extremely egregious, going far beyond normal commercial regulation and carrying blatant political coercion and discriminatory overtones". The newspaper further warned the Netherlands not to underestimate the countermeasures China might take and framed the intervention as a violation of international rules.

Adding to the escalating tensions, China has reportedly imposed an export ban on the Chinese branch of Nexperia. Letters were sent from Nijmegen to clients regarding the export ban, which took effect on October 4, 2025, and concerns products with both civilian and military applications. Nexperia is reportedly in discussions with Chinese authorities to lift the restrictions. Furthermore, Wingtech stated on Monday that it would take action to protect its rights and seek government support. Shares in Wingtech fell by 10% following the Dutch government's announcement.