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Nexperia Assures Continued Chip Supply Through Alternative Routes Amid Europe–China Standoff

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Dutch chipmaker Nexperia has reaffirmed its commitment to maintaining wafer deliveries despite the ongoing dispute between its Europe-based unit and packaging plant in China. In a statement, the company clarified that shipments have not been halted entirely and that it is actively offering alternative supply chain routes to minimise disruption for customers.

The standoff, triggered by the Dutch government’s seizure of Nexperia over concerns of technology transfer, has led to significant strain on global automotive manufacturing. While Europe has paused wafer shipments to the Dongguan facility, the Chinese arm is believed to have enough wafers and finished products to operate for several months. Nexperia said any interruption in shipments from China is the responsibility of its Chinese units, adding that it continues to work closely with customers to reduce pressure on the auto sector.

In response to the supply bottleneck, China temporarily eased export controls on chips produced at the Dongguan plant, offering short-term relief to carmakers. Meanwhile, a Dutch delegation is scheduled to visit China next week to advance discussions aimed at resolving the impasse and restoring smooth supply chain operations.

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Nexperia Chip Shipments Resume Amid Easing Trade Tensions

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Semiconductor maker Nexperia has restarted some chip deliveries after weeks of disruption caused by a dispute between the Netherlands and China over technology transfers. German officials welcomed the signs of “de-escalation,” expressing hope that temporary permits would soon restore supply to Europe’s major automotive industry.

Germany’s Aumovio has secured exemptions from Chinese export controls, becoming the first supplier to confirm resumed access to Nexperia chips. Honda also reported progress, saying shipments in China had begun and production at affected plants in North America could restart as early as next week, though uncertainty remains.

Nexperia, which is Chinese-owned but headquartered in the Netherlands, produces essential components for car electronics. Suppliers had warned they might furlough workers if shortages continued. While Nexperia expects product flows to normalize soon, European automakers like Volkswagen remain cautious, warning that chip constraints could still threaten output into 2025.

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European Carmakers Brace for Supply Disruptions as Nexperia Halts China Shipments

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Europe’s auto industry is facing renewed supply chain concerns after Dutch semiconductor manufacturer Nexperia suspended wafer shipments from China. The move follows a dispute with management at its Dongguan facility and comes weeks after the Dutch government seized temporary control of the company over national security issues.

Nexperia, whose chips are essential for power systems, sensors, and electronics in vehicles made by Volkswagen, BMW, and Stellantis, informed customers that deliveries were halted from 26 October. Officials in The Hague fear that production capabilities could shift out of Europe amid rising trade tensions with China, which has added its own export restrictions, further complicating component flows.

The European Automobile Manufacturers’ Association has warned that shortages of basic control chips are escalating daily and could soon disrupt assembly lines. Governments and industry groups are now pushing for urgent diplomatic talks to restore supply routes and protect European automotive output through the remainder of the year.

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White House Expected to Resume Shipments from Nexperia’s China Plants Amid Global Chip Strain

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The Dutch government and chipmaker Nexperia declined to comment on reports suggesting that the White House is preparing to announce the resumption of shipments from Nexperia’s Chinese facilities. According to a Reuters report citing a source familiar with the matter, the decision is expected to ease pressure on automakers facing potential production cuts due to a shortage of crucial semiconductor components.

In a statement, the Netherlands said it remains in dialogue with Chinese authorities and international partners to find “a constructive solution that restores balance to the chip supply chain and benefits Nexperia and our economies.” Meanwhile, a spokesperson for Nexperia emphasized that the company has been “continuously calling for a de-escalation of the current events.”

The development follows last month’s move by the Dutch government to seize control of Nexperia, a subsidiary of Chinese-owned Wingtech Technology. In retaliation, Beijing reportedly blocked exports of Nexperia’s products from China, escalating tensions in the already strained global semiconductor supply chain.

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