The European Union wants to stabilize the chip supply chain and invites Nexperia to negotiations

The European Union is attempting to resolve tensions with chip manufacturer Nexperia, which is owned by Chinese company Wingtech, through diplomatic channels. After the Dutch government took control of Nexperia in early October, China responded by imposing an export ban on its products.

This move jeopardizes the global supply chain, particularly the automotive industry. EU Technology Commissioner Henna Virkkunen said on Friday after a meeting with company representatives that the Union was determined to achieve a diplomatic breakthrough.

At the same time, the company invited representatives to a working group on chip legislation to discuss the consequences of the crisis and ways to strengthen supply chain resilience.

Nexperia has informed its customers that wafer deliveries to the Chinese assembly plant will be suspended, which could cause problems in global electronics production. Virkkunen emphasized the need to invest in secure supply chains and diversify sources of supply.

(reuters, max)