A growing dispute inside one of Europe’s largest chipmakers is threatening to derail automotive production across the continent just as the industry begins to recover from years of semiconductor supply instability.
Netherlands-based Nexperia halted shipments of silicon wafers to its Chinese backend facility in October. The internal freeze follows the Dutch government’s October decision to seize control of the company, oust its China-based CEO, and impose tighter oversight over operations. That move, prompted by what officials described as “serious governance shortcomings,” has fractured the relationship between Nexperia’s EU and China units and left carmakers warning that inventories could run out within weeks, a potentially "devastating" outcome.
