Netherlands steps up China chip row with probe into Nexperia’s takeover of Nowi
- A new law will allow Dutch authorities to review the Chinese-owned semiconductor maker’s acquisition of the local manufacturer
- The Netherlands has been rethinking its ties with China, and agreed earlier this year to join the US effort to further restrict exports of chip technology to China
The Dutch government will start an investigation into the takeover of a local chip maker by a Chinese-owned firm as the Netherlands steps up controls of the industry amid a chip spat with the Asian nation.
Authorities will use a new legislation to review semiconductor maker Nexperia’s acquisition of Netherlands-based Nowi, according to Economic Affairs Minister Micky Adriaansens.
The move comes as the country will for the first time have the power to stop foreign takeovers of Dutch companies on national security grounds, with the new law taking effect on Thursday.
“At the moment, Russia and China” are among countries the Netherlands needs to be “extra alert” about, Adriaansens said in an interview on Wednesday in The Hague. There are many areas where Dutch companies can do business with China but in some fields “we are really vulnerable”, the minister added.
The Netherlands has been rethinking its ties with China, one of its biggest trading partners. Earlier this year, the Dutch government agreed to join the US effort to further restrict exports of chip technology to China.
“With sensitive technologies like photonics, quantum, radar technology, sensor technology, chips,” there is a risk they may be used for military purposes, Adriaansens said. “That knowledge we have to protect.”