The Dutch government imposed emergency measures on Nexperia, a chip manufacturer owned by Chinese holding company Wingtech, to prevent its semiconductor expertise from being transferred to China. The Ministry of Economic Affairs restricted Nexperia’s operational autonomy for at least a year, barring it from relocating business units, appointing executives, or making critical decisions without government approval. The Dutch Amsterdam Enterprise Chamber removed Nexperia’s Chinese CEO (Zhang Xuezheng) following allegations of planned leakage of chip manufacturing knowledge a direct threat to Netherlands’ national and economic security.The intervention was triggered by fears that Nexperia’s proprietary process optimizations (e.g., yield rate improvements to reduce defective chips), though not as advanced as competitors like Nvidia or Intel, could bolster China’s semiconductor capabilities. The move aligns with broader US export restrictions (effective December 2024) targeting Chinese firms, escalating geopolitical tensions. Wingtech condemned the action as ‘discrimination’ and ‘excessive interference’, while Nexperia publicly claimed compliance with all regulations. The Goods Availability Act a reserve tool for national emergencies was invoked, underscoring the severity of the perceived risk.
TPRM report: https://www.rankiteo.com/company/nexperia
"id": "nex0062500101325",
"linkid": "nexperia",
"type": "Breach",
"date": "12/2024",
"severity": "100",
"impact": "6",
"explanation": "Attack threatening the economy of geographical region"{'affected_entities': [{'industry': 'Technology/Hardware',
'location': 'Netherlands',
'name': 'Nexperia',
'type': 'Semiconductor Manufacturer'},
{'industry': 'Technology/Investment',
'location': 'China',
'name': 'Wingtech',
'type': 'Holding Company'}],
'data_breach': {'data_exfiltration': 'Alleged (Not Confirmed)',
'sensitivity_of_data': 'High (National/Economic Security '
'Implications)',
'type_of_data_compromised': ['Chip Manufacturing Process '
'Knowledge',
'Yield Rate Optimization '
'Techniques']},
'date_publicly_disclosed': '2023-10-07',
'description': 'For one year, Nexperia, a Dutch chip manufacturer owned by '
'Chinese holding company Wingtech, is restricted from making '
'key business decisions without Dutch government approval. The '
'measures aim to prevent Nexperia’s chip expertise from being '
'transferred to China, citing national and economic security '
'risks. The Dutch Ministry of Economic Affairs invoked the '
'Goods Availability Act, an emergency instrument, after signs '
'indicated potential leakage of chip knowledge. Nexperia’s '
'Chinese CEO, Zhang Xuezheng, was removed from office '
'following a request by three Nexperia directors. The '
'restrictions coincide with stricter US export controls on '
'Chinese companies, effective December 2024.',
'impact': {'brand_reputation_impact': ['Negative Perception Due to '
'Geopolitical Tensions',
'Associated with National Security '
'Risks'],
'data_compromised': ['Chip Manufacturing Expertise (alleged)',
'Business Process Knowledge (e.g., yield rate '
'optimization)'],
'legal_liabilities': ['Potential Violations of Dutch Goods '
'Availability Act',
'US Export Restrictions Compliance Risks'],
'operational_impact': ['Restricted Business Decisions',
'CEO Removal',
'Leadership Instability',
'Potential Supply Chain Disruptions']},
'investigation_status': 'Ongoing (Dutch Government Oversight)',
'motivation': ['Economic Espionage',
'Technology Transfer',
'Geopolitical Influence'],
'post_incident_analysis': {'corrective_actions': ['Government-Enforced '
'Business Restrictions',
'CEO Replacement',
'Compliance with Export '
'Controls'],
'root_causes': ['Geopolitical Tensions (US-China '
'Tech War)',
'Ownership by Chinese Holding '
'Company (Wingtech)',
'Alleged Risk of Chip Expertise '
'Leakage']},
'references': [{'date_accessed': '2023-10-07', 'source': 'NRC Handelsblad'},
{'date_accessed': '2023-10-07',
'source': 'Chinese Media (Unspecified)'}],
'regulatory_compliance': {'legal_actions': ['CEO Removal via Amsterdam '
'Enterprise Chamber',
'Government-Imposed Business '
'Restrictions'],
'regulations_violated': ['Potential: Dutch Goods '
'Availability Act (if '
'expertise leaked)',
'US Export Restrictions '
'(December 2024)'],
'regulatory_notifications': ['Dutch Ministry of '
'Economic Affairs '
'(September 30, 2023 '
'Letter)']},
'response': {'communication_strategy': ['Nexperia Official Statement '
'(Compliance with Laws)',
'Wingtech Public Rebuttal (Later '
'Removed)'],
'containment_measures': ['Restriction on Business Unit '
'Relocations',
'Executive Appointment Freeze',
'Critical Decision-Making Oversight by '
'Dutch Government'],
'enhanced_monitoring': ['Dutch Government Oversight on Business '
'Operations'],
'incident_response_plan_activated': ['Dutch Goods Availability '
'Act',
'Emergency Hearing for CEO '
'Removal'],
'remediation_measures': ['Removal of Chinese CEO (Zhang '
'Xuezheng)',
'Temporary Replacement with Non-Chinese '
'Director']},
'threat_actor': ['Chinese Government (alleged)',
'Wingtech (Chinese holding company)'],
'title': 'Dutch Government Imposes Emergency Measures on Nexperia to Prevent '
'Chip Expertise Leak to China',
'type': ['Geopolitical Intervention',
'National Security Risk',
'Corporate Governance Restriction']}