Intervention Under Rare Economic Security Law
The Dutch government has taken control of semiconductor manufacturer Nexperia, citing “serious governance shortcomings” and national security concerns linked to its Chinese ownership. The Ministry of Economic Affairs confirmed that it had invoked a rarely used legal instrument to suspend parts of the company’s management authority and appoint independent officials to oversee operations. Nexperia, headquartered in Nijmegen, has been majority-owned by China’s Wingtech Technology since 2019.
Government Cites Risk to Critical Technology
According to the ministry, the move was necessary to safeguard the Netherlands’ access to essential chip technology and prevent potential exposure of sensitive industrial know-how. The decision follows months of scrutiny over Nexperia’s governance structure and its ties to China amid growing European concerns about strategic dependencies in the semiconductor sector. The intervention does not halt production or affect Nexperia’s workforce, but it effectively freezes decision-making power at the top of the company.
Wingtech Condemns Move, Plans Legal Action
Wingtech has denounced the Dutch government’s action as politically motivated and announced plans to challenge the decision in court. The company said it had complied with all Dutch and EU regulations and accused The Hague of discriminating against Chinese investors. The case marks one of the first uses of the Netherlands’ emergency economic powers to secure domestic access to vital technology, signaling a tougher European stance on foreign ownership in sensitive industries.
