Ministry of Commerce Responds to Nexperia Issue: "It Takes the One Who Tied the Bell to Untie It"

The Ministry of Commerce addressed the Nexperia semiconductor issue, emphasizing that "it takes the one who tied the bell to untie it."

In response to media reports about low wafer inventory levels at Nexperia's Dongguan plant, which has reportedly led to chip shortages for both domestic and foreign automakers in China, the Ministry stated that the Chinese government has taken practical measures to exempt compliant chips for civilian use from export controls. These steps aim to stabilize the global semiconductor supply chain while urging companies to resolve internal disputes through negotiations.

Wingtech Technology Co., Ltd. and Nexperia Netherlands held their first round of discussions last week. Both sides clarified their respective concerns and agreed to maintain communication. China called on relevant companies to negotiate on control rights and supply chain restoration to effectively recover the global semiconductor supply chain.

The Ministry reiterated that the root cause of the Nexperia issue lies in the Dutch government's improper administrative interference in corporate operations. Citing an old Chinese saying, the Ministry urged the Dutch government to immediately revoke its administrative order, facilitate the withdrawal of lawsuits by former Nexperia Netherlands executives, and create favorable conditions for negotiations. This would help restore chip supplies for automakers in China and contribute to global semiconductor supply chain stability.