China has indicated it will resume exports of chips from Nexperia’s plants in China

Markets 2025-11-08 10:05

China has agreed to resume exporting Nexperia’s chips from facilities within China.
The Netherlands is set to relinquish its emergency control over Nexperia once chip exports resume and its supply chain is restored.

At a climate summit in Belem, Brazil, Dutch Prime Minister Dick Schoof announced that China will “enable the resumption of supplies from Chinese factories from Nexperia.” The nation has apparently already informed the Netherlands about it. 

Schoof emphasized the importance of the move for Germany’s car industry in particular. He stated that the speed of delivery of the supplies is still uncertain, but the message itself is “important news” for European manufacturing. 

China has agreed to resume exports of Nexperia’s chips

If China restarts Nexperia’s chip exports, the Dutch government plans to end its temporary control of the company. Nexperia is still owned by China’s Wingtech Technology, but the Netherlands had taken special powers to oversee its decisions. Bloomberg reports that this arrangement could be stopped as early as next week if chip shipments resume and other conditions are satisfied

Export restrictions from Nexperia’s Chinese facility cut off the critical supply of semiconductor components widely used in European auto manufacturing, which triggered warnings of production slowdowns among major carmakers. 

Dutch Economics Minister Vincent Karremans also commented that talks with Chinese authorities have been constructive. He expressed confidence that chip supplies to Europe and the world would resume “in the coming days.” 

Emergency control measures 

Late in September 2025, the Dutch government invoked the Goods Availability Act, a rarely used law originally enacted in 1952, to take emergency control of Nexperia. The move was backed by concerns that Wingtech founder Zhang Xuezheng had been using Nexperia’s resources improperly and possibly shifting key technologies out of Europe. 

In response, China imposed export restrictions on Nexperia’s Chinese facility, which accounted for a significant portion of the company’s output. That in turn triggered raw-material and chip shortages for European car manufacturers. 

Further complicating the issue, on November 6, Nexperia publicly warned it could no longer guarantee the quality or authenticity of the chips produced in its Chinese plant after October 13 due to the loss of oversight and control of that facility. 

A successful resumption of chip exports from China would be an immediate relief to Europe’s automotive supply chain, where production lines have been facing the threat of shutdowns due to a lack of basic semiconductor components. For example, automakers like Volkswagen Group and BMW Group were directly affected. 

With Nexperia set to be released from the restrictions placed on it, the company may need to review how it runs its Chinese operations and manages its supply chain. The disruption showed just how much the company depends on its Chinese unit, which handles about 70% of its production and the risks that come when that part of the business is cut off.

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This content is for informational purposes only and does not constitute investment advice.

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