China to resume Nexperia chip exports as conflict cools

Chinese authorities have agreed to resume chip exports from Nexperia’s factories in China, Dutch Prime Minister Dick Schoof and European car manufacturers have confirmed. The move follows a commitment from the Dutch government to lift emergency measures that gave it control over the Nijmegen-headquartered chipmaker, if Beijing would allow resumption of chip supply.

The dispute erupted after the Netherlands invoked Cold War-era legislation in September to block what it described as harmful interference by Nexperia’s parent company Wingtech. China retaliated with export restrictions that threatened global automotive production. Beijing has now told the European Commission that it will grant export license exemptions for goods declared for civilian use.

The legal battle over Wingtech CEO Zhang Xuezheng, suspended by a Dutch court, “is still in place” and not part of the negotiations, Schoof said. “We agreed that this is something else that we’ll have to discuss. This wasn’t about the CEO.”