Overview
- Nexperia suspended deliveries of wafer pre-products to its Dongguan packaging and test plant effective October 26, citing unmet contractual payment obligations by local management.
- The company told customers shipments will resume only once obligations are fully met and said it is pursuing alternative arrangements to keep chip supplies flowing.
- China’s commerce ministry blamed the Dutch takeover for the disruption and invited affected firms to seek exemptions, saying qualifying exports could be allowed.
- Automakers and suppliers, including BMW, Volkswagen, Bosch, Stellantis and Nissan, activated crisis teams to manage potential shortages, with no broad production stoppages reported so far.
- Roughly 70% of Nexperia’s Europe-made chips go to China for final processing, exposing a chokepoint that has prompted EU officials to revisit stockpiling and diversification plans, while reports describe parallel US‑China and EU‑China talks on relief.