Dutch Government Intervenes on Nexperia, Rewriting Europe’s Geoeconomic Playbook
Our Privacy Policy has been updated! The Conference Board uses cookies to improve our website, enhance your experience, and deliver relevant messages and offers about our products. Detailed information on the use of cookies on this site is provided in our cookie policy. For more information on how The Conference Board collects and uses personal data, please visit our privacy policy. By continuing to use this Site or by clicking "ACCEPT", you acknowledge our privacy policy and consent to the use of cookies. 

Europe in Flux

Dutch Government Intervenes on Nexperia, Rewriting Europe’s Geoeconomic Playbook

/ Essay

The Dutch government's move at Nexperia is a bold act to protect critical chip capacity in Europe. The Netherlands-based Chinese semiconductor manufacturer produces one-quarter of the world’s supply of basic semiconductors like diodes and transistors, underscoring its importance in global supply chains, with Volkswagen and Volvo already warning that Nexperia’s troubles could force factory shutdowns.

The Dutch government's move at Nexperia is a bold act to protect critical chip capacity in Europe. The Netherlands-based Chinese semiconductor manufacturer produces one-quarter of the world’s supply of basic semiconductors like diodes and transistors, underscoring its importance in global supply chains, with Volkswagen and Volvo already warning that Nexperia’s troubles could force factory shutdowns.

With China’s subsequent export curbs and evolving US rules shaping the backdrop, this is geoeconomic warfare in action. At best, we expect mitigated agreements and slow derisking and, at worst, a sharper cutoff of corporate business between rival geographical blocs.

Trusted Insights for What’s Ahead®

  • The Dutch government invoked an unprecedented law to assert control over Nexperia, a Chinese-owned maker of basic semiconductors such as transistors, arguing that governance failures threaten the secure supply of critical components in the Netherlands and across Europe.
  • The company immediately filed a complaint in Dutch courts and the Chinese government issued a retaliatory export control order barring Nexperia and its subcontractors from exporting certain finished components and subassemblies produced in China.
  • The episode marks a turning point in how the EU and its member states deploy their economic s

Author

Maria Demertzis

Maria Demertzis Maria Demertzis

Economy, Strategy and Finance Center Leader, Europ…
The Conference Board

Read Bio

This publication is available to you, but you need to sign in to myTCB® or create an account to access it.To learn more about becoming a Member click here. To check if your company is a Member, click here

Sign In

Forgot your password

Create An Account

 

Keep my computer signed in

Forgot your password

Create An Account

myTCB® Members get exclusive access to webcasts, publications, data and analysis, plus discounts to events.

Other Related Resources