Nexperia Hit by China Export Restrictions, Exposing Geopolitical Risks in the Automotive Supply Chain

車未來 2025-10-28

The Netherlands-based semiconductor manufacturer Nexperia has recently become entangled in multiple political and regulatory crises. Its parent company, Wingtech Technology, was placed on the U.S. Department of Commerce Entity List at the end of 2024. Subsequently, in September 2025, the U.S. expanded its export control measures, restricting subsidiaries that are more than 50% owned by listed entities from accessing U.S. technologies. Although Nexperia was not directly named, it has nonetheless been affected — with the repercussions rippling across the automotive supply chain.

At the same time, the Dutch Enterprise Chamber ruled earlier this month to temporarily suspend former CEO Zhang Xuezheng due to management concerns, appointing CFO Stefan Tilger as acting CEO. The Dutch Ministry of Economic Affairs also invoked the Goods Availability Act to issue an emergency order prohibiting Nexperia from making major personnel or asset changes for one year, aiming to safeguard Europe’s semiconductor supply stability.

Adding further complexity, China’s Ministry of Commerce issued an export ban this month targeting Nexperia China and its subcontractors, restricting the export of certain chips and modules. This measure has disrupted supply chains for many European automakers. Nexperia is actively negotiating with Chinese authorities to obtain an exemption, but the incident highlights how the company’s global operations are being squeezed from three directions — U.S. technology sanctions, Dutch regulatory intervention, and Chinese export restrictions.

For the automotive industry, Nexperia is a key supplier of power management ICs and power semiconductors to numerous global automakers, supporting EV battery management systems, motor drives, and body control modules. Any disruption in its production or logistics could delay deliveries of critical EV chips. In Europe, in particular, automakers may face rising component costs and heightened supply uncertainty.

Overall, this episode underscores the geopolitical vulnerabilities of the automotive semiconductor supply chain. For Taiwan, whose companies possess strong IC design and packaging-test integration capabilities, this presents an opportunity to position themselves as alternative suppliers for European carmakers seeking non-U.S. and non-China sources. By strengthening technological capabilities in power semiconductors, MCUs, and sensors, and diversifying manufacturing and raw material dependencies, Taiwan’s semiconductor sector can build a more resilient international network and secure a long-term competitive edge amid global supply chain volatility.