Netherlands Seizes Control of Chinese Semiconductor amid Security Concerns

The Dutch government has invoked a rare emergency law to take control of the Chinese semiconductor company Nexperia, addressing concerns over governance and the potential transfer of critical technologies to China. This unprecedented action reflects rising tensions regarding national security and technology access in Europe.

Nexperia, owned by the Chinese firm Wingtech, plays a vital role in supplying components to the European automotive industry. The move has drawn sharp criticism from China, which perceives it as an unjustified intervention based on national security pretexts.

Additionally, the U.S. had previously warned Dutch officials that the company’s CEO needed to be replaced to avoid being blacklisted. The situation has led to volatility in Asian stock markets, highlighting the broader implications of this takeover.