Nexperia chips made in China available: Sources

A group of foreign automakers has received the first batch of Nexperia chips made in China, as signs emerge that the Netherlands is softening its stance following weeks of tension over control of the semiconductor maker, people familiar with the matter told China Daily.

An executive at a German automaker who asked not to be named confirmed that the company was among the first to apply for export licenses from China's Ministry of Commerce. "The ministry has moved swiftly. We have already obtained chips from Nexperia's China plant," the executive said on Tuesday.

The commerce ministry said on Sunday that it would grant short-term special licenses to allow exports of certain Nexperia products, while urging the European Union to press the Dutch government to lift restrictions on the firm.

Beijing's partial easing of controls has already sparked a buying frenzy among manufacturers eager to secure supplies. A Japanese automaker also confirmed to China Daily that it had sent representatives to Beijing to negotiate purchases, hoping to secure early shipments.

In a separate statement on Saturday, Beijing said that it has agreed to the Dutch government's request to send representatives to Beijing for talks, and that it hoped the Netherlands would propose "constructive solutions" and take "concrete actions" to resolve the dispute over Nexperia soon.

The developments followed remarks by an official from the Dutch government who said that Nexperia chips would begin reaching customers in Europe and beyond "in the coming days", citing "the constructive nature of our talks with the Chinese authorities".

Xiang Ligang, an industry veteran and director-general of the Zhongguancun Modern Information Consumer Application Industry Technology Alliance, a telecom industry association, said, "When the Dutch government tried to influence the market through administrative measures, it found that real power lies in the industrial layout, not legal ownership."

Nexperia is based in Nijmegen, the Netherlands, and is a subsidiary of Wingtech Technology, a Shanghai-listed company.

In a brief public letter to clients, Nexperia's Shanghai subsidiary said it would "fully resume chip supplies effective immediately", but under two conditions — sales will be limited to customers within China, and all transactions must be settled in renminbi, the Chinese currency.

Huang Mengmeng, an associate researcher at the Chinese Academy of Social Sciences' Institute of European Studies, said the dispute highlights the risks of the EU's "derisking" strategy toward China.

"The policy is heavily driven by over-securitization and ideological confrontation, ignoring the deep integration of China-Europe industrial chains under globalization," Huang said.

Huang added that pressure from German automakers has already filtered into political discussions in Berlin and Brussels, pushing the Netherlands to seek a diplomatic resolution.

"The Nexperia case shows that so-called 'de-risking' that violates the spirit of contracts is, in essence, the creation of new risks," Huang said.