Dutch government seizes control of Chinese-owned chipmaker Nexperia

[Computer chip mockup on blue circuit board with electronic components, microprocessor, technology background, close-up, high-tech integrated circuits, digital, futuristic, ai hardware]
Pavel Muravev

The government of the Netherlands said it is taking control of Dutch chipmaker Nexperia to address concerns about losing domestic access to crucial technology.

Nexperia is owned by Chinese company Wingtech Technology. Shares of Wingtech fell about 10% in Shanghai on Monday.

The Dutch Ministry of Economic Affairs said [https://www.government.nl/latest/news/2025/10/12/minister-of-economic-affairs-invokes-goods-availability-act] that on Sept. 30, the Dutch Minister of Economic Affairs invoked the Goods Availability Act "due to serious governance shortcomings at semiconductor manufacturer Nexperia."

"The Act has been invoked following recent and acute signals of serious governance shortcomings and actions within Nexperia. These signals posed a threat to the continuity and safeguarding on Dutch and European soil of crucial technological knowledge and capabilities. Losing these capabilities could pose a risk to Dutch and European economic security," said the ministry in a press release.

Nexperia produces chips used in the European automotive industry and in consumer electronics.

The decision aims to prevent a situation in which the goods produced by Nexperia would become unavailable in an emergency, the ministry added.

"Invoking the Goods Availability Act by the Minister is highly exceptional. Only due to the significant scale and urgency of the governance deficiencies at Nexperia has the decision been made to apply the Act," the ministry added.

The ministry noted that the government uses this measure only when "absolutely necessary."

The ministry said that on the basis of the order, company decisions may be blocked or reversed by the minister of Economic Affairs if they are (potentially) harmful to the interests of the company, to its future as a Dutch and European enterprise, and/or to the preservation of this critical value chain for Europe.

"The company’s regular production process can continue," according to the ministry.

Wingtech said in a statement it was consulting with lawyers and seeking government support to "protect the legitimate rights and interests of the company," Reuters reported [https://www.reuters.com/world/china/dutch-government-intervenes-chinese-owned-computer-chip-firm-nexperia-2025-10-12/].

Wingtech and Nexperia did not immediately respond to a request for comment from Seeking Alpha.

Wingtech said in a stock exchange filing that its control over Nexperia will be temporarily restricted because of the Dutch order and court rulings, affecting decision making and operational efficiency, the report noted.

Chairman Zhang Xuezheng was suspended from Nexperia's boards by an Amsterdam court order on Oct. 6, and an independent non-Chinese person with a "deciding vote" would be appointed in his place, said Wingtech, as per the report.

A spokesperson for Nexperia told the news agency that the company adheres to "all existing laws and regulations, export controls and sanction regimes," and declined further comment.

Nexperia is one of the world's largest manufacturers of simple computer chips such as diodes and transistors, but it also develops more advanced technologies aimed at using chips to manufacture batteries more efficiently, the report added.

Wingtech bought 100% of Nexperia, once part of Dutch company Philips, for about $3.63B in 2018.

Wingtech was placed on the U.S. "entity list" in December 2024, identifying it as a national security concern. Nexperia noted at the time that it would adhere to U.S. rules, but that would not greatly impact Nexperia's operations, which it says are kept at distance from Wingtech, the report noted.

However, last month the U.S. expanded entity list rules to automatically include units which are 50% or more owned by companies on the entity list.

MORE ON TECH STOCKS

* ASML Holding: A Risk-Focused View Of A Generational Opportunity [https://seekingalpha.com/article/4829350-asml-holding-a-risk-focused-view-of-a-generational-opportunity]
* ASML: Numerous Reasons To Buy Before Q3 Earnings [https://seekingalpha.com/article/4829059-asml-numerous-reasons-to-buy-before-q3-earnings]
* ASML: A Mispriced Gem In The Booming Semiconductor Industry [https://seekingalpha.com/article/4828834-asml-a-mispriced-gem-in-the-booming-semiconductor-industry]
* Earnings week ahead: JPM, C, WFC, GS, MS, WFC, TSM, JNJ, SLB, and more [https://seekingalpha.com/news/4503333-earnings-week-ahead-jpm-c-wfc-gs-ms-wfc-tsm-jnj-slb-and-more]
* Weekly tech check: AI deals drive gains for AMD and Dell, while trade tensions weigh on memory stocks [https://seekingalpha.com/news/4503426-weekly-tech-check-ai-deals-drive-gains-for-amd-and-dell-while-trade-tensions-weigh-on-memory-stocks]