There are new developments in the chip war between the Netherlands and China, which has the company Nexperia at the center. After a tense escalation and the blockade that threatened to paralyze factoriesthe situation has improved after the meeting between Trump and Xi Jinpingbut there is something else. Almost at the same time, Nexperia China made a decision that changes everything: they will take care of the manufacturing of all the chips without depending on Holland, which would mean the definitive divorce from what was their headquarters.
A divided company. Since last October 13 The Dutch government decided to take control of the companyNexperia split in two and was caught between two pieces of legislation. On the one hand, the headquarters in Holland controlled by the Dutch government and on the other its subsidiary in China, which The Chinese government banned the export of components.
What followed was an increasingly tense exchange: the Chinese subsidiary broke ranks with the parent company and began to act independently and then from Holland They stopped supplying wafers for their chips as “a direct consequence of the recent failure by local management to comply with contractually agreed payment terms.” The automobile sector was shaking in the face of supply cuts and warned that factories could be paralyzed.
Nexperia China. In a statement published by Beijing Dailydescribe the accusation as completely false and affirm that, not only have they not breached the contract, but that the Dutch parent company owes them 1,000 million yuan (about 122 million euros). They continue: “The unilateral suspension of supply by Nexperia completely ignores the interests of customers, seriously violates contractual agreements and the principles of business cooperation, seriously damages customer trust and constitutes an extremely irresponsible act.”
Full China. Nexperia China will continue to operate independently and they assure that they have enough stock to supply their international customers “until the end of the year and beyond.” Furthermore, before the controversy Nexperia was already responsible for 70% of production; What Europe supplied them was mainly the wafers or wafers. Nexperia China says in its statement that they are “accelerating verification of new wafer capacity,” the key component to its full independence.
The meeting. In it statement issued by the White House Following the meeting between Trump and Xi Jinping, it is said that “China will take appropriate measures to ensure the resumption of trade from Nexperia’s facilities in China, allowing production of critical legacy chips to reach the rest of the world.” That is to say, the blockade is coming to an end, the curious thing is that at no time does it mention anything about Holland or Europe.
Nexperia Netherlands. The Dutch headquarters welcomed the agreement between the presidents of both nations, but did not comment on the Chinese subsidiary’s intention to accelerate its industrial independence. If Nexperia China finally completes its total spin-off, the European subsidiary could end up being a kind of ghost company empty.
Images | Nexperia
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