China Eases Nexperia Chip Restrictions, But Risks Persist
Update: 2025-11-11
Description
On November eleventh, Chinas Commerce Ministry exempted Nexperia chips for civilian use, easing concerns about supply shortages, particularly in the automotive industry. This move comes after the Dutch Economic Affairs Minister took control of Nexperia in September due to fears of operations relocating to China. The dispute has led to a shortage of Nexperias basic chips, affecting global supply chains and production. While some deliveries have resumed, experts warn that this dispute signals a structural risk, highlighting the need for companies to adopt multi-sourcing strategies and prioritize resilience in their supply chains.
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