In a rare and sweeping intervention, the Dutch government has temporarily taken control of Chinese-owned chipmaker Nexperia, invoking an emergency law to safeguard national and European security.
The move, announced Sunday, was made under the Goods Availability Act, a seldom-used statute granting the state power to override corporate decisions in critical sectors. Officials cited “serious governance shortcomings” and the risk that essential chip supplies could become unavailable during a crisis.
Nexperia, headquartered in Nijmegen, produces vital power and signal chips used in cars and electronics. It is owned by China’s Wingtech, whose shares plunged nearly 10% in Shanghai following the announcement.
The Dutch Ministry of Economic Affairs said the action — described as “highly exceptional” — allows production to continue but gives the government control over Nexperia’s strategic decisions. A Dutch court has also suspended the firm’s Chinese CEO and appointed an independent director.
Wingtech confirmed its control rights had been “temporarily restricted” and said it would pursue legal action. Beijing denounced the move as politically motivated, while the European Commission voiced support for The Hague’s right to protect strategic industries.
Analysts say the decision reflects a broader European pivot toward tech sovereignty, amid U.S.–EU efforts to shield semiconductor supply chains from Chinese influence. It follows the UK’s 2022 order forcing Nexperia to sell its Newport Wafer Fab and Washington’s tightening of export controls on Wingtech affiliates.
“This marks a turning point in Europe’s willingness to use national security tools for industrial policy,” said Dr. Petra van Dijk of the European Technology Resilience Institute. “The message is clear: essential technology must remain under European control.”
For now, Nexperia operates under tight Dutch oversight — a symbol of the continent’s determination to secure its chip future.
