AMSTERDAM (Reuters) -Dutch computer chip maker Nexperia said on Tuesday it is facing export restrictions from both the U.S. and Chinese governments, showing how the firm is being squeezed between the two geopolitical and technological rivals.
In a statement, Nexperia, a subsidiary of China’s WingTech, said it is in negotiations with both governments. It said it was optimistic, at least about obtaining relief from the United States.
The Dutch state took control of Nexperia on September 30 to ensure its technology and operations remain on European soil – just as Washington expanded its “entity list” of companies that require export licenses for any transaction involving the U.S. to include subsidiaries of listed companies.
Nexperia is one of the largest makers globally of basic chips such as transistors, although it has also sought to develop more advanced chips for use in electrical applications.
Although the U.S. did not explicitly add Nexperia to the entity list “the company is affected due to its status as a wholly owned subsidiary of Wingtech Technology Co., Ltd. that was put on the BIS entity list last December,” Nexperia said in a statement.
It said it has a 60-day grace period from being subjected to U.S. rules, and is “confident that a solution will be found”.
On October 4, the company said the Chinese Chamber of Commerce prohibited Nexperia and its subcontractors from exporting components assembled in China.
“Nexperia is actively engaging with the Chinese authorities to obtain an exemption from these restrictions and has deployed all available resources to that end,” it said.
(Reporting by Toby Sterling; Editing by Kirsten Donovan)
