THE HAGUE, Netherlands (AP) — The Dutch government took effective control of Chinese-owned chipmaker Nexperia in what it said was a “highly exceptional” move over worries that corporate governance shortcomings pose a potential risk to European economic security.

In a statement late Sunday, the Dutch ministry of economic affairs said it had invoked the rarely used Goods Availability Act to intervene in the business of Nexperia, which makes semiconductors used in the automotive and consumer technology industries. Nexperia is based in the Dutch city of Nijmegen but it's owned by China's Wingtech Technology.

Concerns about Nexperia’s governance “posed a threat to the continuity and safeguarding on Dutch and European soil of crucial technological knowledge and capabilities," the ministry said

See Full Page