The Dutch government has taken control of Nexperia, the Chinese-owned semiconductor manufacturer based in the Netherlands, following a ruling by the Dutch Enterprise Chamber and amid escalating geopolitical tensions surrounding technology and trade.
After an emergency hearing on 7th October 2025, the Enterprise Chamber provisionally concluded that there were “valid reasons to doubt sound management” at Nexperia under former CEO Zhang Xuezheng. As an immediate measure, Zhang was suspended as a director and removed from his role as CEO. The court also placed nearly all voting rights on shares held by Nexperia’s Chinese parent company, Wingtech Technology Co. Ltd., under the control of an independent administrator.
CFO Stefan Tilger has been appointed interim CEO.
Government intervention under Goods Availability Act
In response to the governance issues, the Dutch Ministry of Economic Affairs issued an emergency order under the Goods Availability Act (Wbg). The ministry said the decision was driven by “serious governance shortcomings” that risked undermining Nexperia’s European operations and threatening the availability of critical semiconductor products.
The order prohibits Nexperia from relocating company assets, dismissing executives, or making significant strategic decisions without explicit government approval for a period of one year. The ministry stated: “These signals posed a threat to the continuity and safeguarding on Dutch and European soil of crucial technological knowledge and capabilities. Losing these capabilities could pose a risk to Dutch and European economic security.”
The government stressed that production could continue as normal, adding that the measures were intended to ensure supply continuity and prevent disruption to Europe’s semiconductor value chain.
International trade and export restrictions
The intervention comes amid mounting pressure from international export controls. On 29th September 2025, the United States Bureau of Industry and Security (BIS) extended export restrictions to entities at least 50% owned by those on the US Entity List. Although Nexperia was not directly named, it was affected because of its ownership by Wingtech, which was added to the list in December 2024.
Nexperia stated that it has made preparations to maintain business continuity and was seeking an exemption from the BIS restrictions.
In parallel, on 4th October 2025, China’s Ministry of Commerce introduced export controls preventing Nexperia China and its subcontractors from exporting certain finished components and sub-assemblies manufactured in China. The company said it was in discussions with Chinese authorities to secure an exemption and was working closely with national and local governments to mitigate any operational impact.
European security concerns
Analysts have described the Dutch government’s move as a rare use of emergency powers prioritising economic security over open-market principles.
The China Semiconductor Industry Association expressed “serious concern” about the intervention, describing it as “selective and discriminatory” and warning that it could undermine global trade openness.
The development risks intensifying tensions between China and the European Union, which have already been strained by trade disputes and Beijing’s stance on Russia. It follows earlier controversy in the UK, where Nexperia was forced to sell its Newport Wafer Fab facility due to national security concerns, though it continues to operate a site in Stockport.
Wingtech responded in a statement that it would “take actions to protect its rights and seek government support”. Shares in the company fell by 10% on the Shanghai exchange following the Dutch announcement.
A Nexperia spokesperson said the company “complies with all existing laws and regulations, export controls and sanctions regimes,” and confirmed that it expected day-to-day operations to continue.
About Nexperia
Headquartered in Nijmegen, Nexperia employs more than 14,000 people worldwide and produces over 100 billion semiconductor components annually. Its products are used across automotive, industrial, mobile, and consumer applications.
