Tuesday, 02 January 2024 12:17 GMT

China Accuses Netherlands of Irresponsibility in Chip Crisis


(MENAFN) China on Wednesday accused the Netherlands of acting irresponsibly amid what Beijing says is a deepening global semiconductor supply chain crisis triggered by Dutch involvement with chipmaker Nexperia.

A spokesperson for China’s Commerce Ministry said Beijing has again raised objections to what it described as the Dutch government’s “improper administrative interference” in Nexperia’s internal affairs, arguing the move has destabilized the global chip market, according to media.

"It is perplexing that in the face of widespread anxiety and concern within the global industry, the Dutch side remains unmoved and persists in its own course, showing no sense of responsibility whatsoever for the security of the global semiconductor industry and supply chains, nor has it taken any substantive action," the spokesperson said.

China urged the Dutch authorities to change course, calling on them to “refrain from acting willfully, immediately correct its wrongdoing, and remove any obstacles that hinder the stability and security of the global semiconductor industry and supply chains,” the spokesperson added.

Nexperia operates as an overseas subsidiary of the Chinese firm Wingtech Technology Co..

In late September, the Dutch government assumed control of Nexperia, citing concerns that sensitive technology could be transferred to Wingtech. The intervention relied on previously unused powers under the Availability of Goods Act, a Dutch law allowing the state to block management decisions deemed a risk to Dutch or European security.

The decision followed warnings from the US regarding Nexperia’s connections to China.

Responding to the move, Wingtech described the Dutch action as “excessive interference driven by geopolitical bias.”

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