Major auto industry associations on both sides of the Atlantic are warning that a fast-escalating semiconductor dispute involving Chinese-owned chipmaker Nexperia could trigger production stoppages within weeks, jeopardizing output in the United States and Europe while reviving fears of a new supply chain crisis.
Nexperia, owned by China’s Wingtech Technology but headquartered in the Netherlands, notified customers on Oct. 10 that it could no longer guarantee delivery of critical automotive chips after China’s Ministry of Commerce issued export controls blocking shipments of certain components from its Chinese manufacturing sites, according to the European Automobile Manufacturers’ Association.
Two days later, on Oct. 12, the Dutch government took the unprecedented step of seizing control of Nexperia’s management, citing concerns over “serious governance shortcomings” and the potential loss of strategic technological capabilities to foreign interests….