On the 4th, China's Ministry of Commerce criticized the Dutch government for not showing a constructive attitude and actions, and for escalating the global supply chain crisis.

The Netherlands initiated the controversy against China's Nexperia Semiconductor. In the context of breakthroughs in Sino-US trade negotiations and the suspension of hostilities for a year, the Netherlands became an awkward figure, becoming a pawn that recklessly pushes forward in this complex trade conflict chessboard. It has separately set up a front line of intense confrontation with China, and the question of who it is responding to and for whose interests this front line was established has become increasingly chaotic due to changing circumstances.

Nexperia Semiconductor produces components in Europe, then transports them to Dongguan, China, for packaging, and then exports them to European customers. A product that flows between regions, crossing borders and even continents, is the feature of trade in the era of globalization. Nexperia Semiconductor was acquired by a Chinese company. Its technology is not advanced, but it is a component widely used in the automotive and electronics industries. The acquisition expanded Nexperia Semiconductor's business, which was beneficial to the Netherlands, China, and Europe without any harm.

However, the Netherlands seizing management rights over Nexperia Semiconductor actively stepped into the murky waters of geopolitics and set a very bad precedent. On September 30, the United States announced its "penetrative rules" targeting Chinese companies under sanctions, and Nexperia Semiconductor fell within the scope of US sanctions according to this rule. This became the reason for the Netherlands to act against Nexperia. However, the deeper reasons for the Dutch government seizing Nexperia's management rights are to please the US and help apply pressure on China from the European direction; secondly, to respond to some forces in Europe advocating for "de-risking" China, and to include Nexperia's not-advanced technology in the protection scope, preventing related production capacity from flowing to China. This is the result of Europeans being driven by geopolitics, with layers of escalation.

According to the timeline, on September 30, the Dutch government used the Cold War-era "Commodity Supply Act" to forcibly take over the management rights of Nexperia Semiconductor. Subsequently, on October 18, Nexperia China announced independent operations and ceased chip exports to European manufacturers. On October 26, the Netherlands announced the halt of wafer deliveries to Nexperia China. As a result, Nexperia Semiconductor was actually split into Nexperia Netherlands and Nexperia China, with the former no longer supplying wafers to the latter, and the latter stopping exports to Europe.

In reality, the wafers provided by Nexperia Netherlands are not advanced. Nexperia China's inventory can last until the end of this year, after which it will not be difficult to find new wafer suppliers, as multiple domestic wafer factories can supply Nexperia China. From the perspective of European automotive manufacturers, the semiconductor chips provided by Nexperia China are mature process technologies, and they can also find new suppliers. The problem is that after going through this round of折腾 (trouble), both sides have to spend time and effort, suffering losses, and finally each builds a relatively independent supply chain. No one can truly benefit from this process.

After the Sino-US declaration of a truce, the Wall Street Journal reported that the White House would push for the resumption of chip shipments from Nexperia's Chinese factory. The Netherlands and the affected EU automotive manufacturers are paying attention to when the US commitment of "resuming the framework for Nexperia China's shipments" will be implemented, as well as how the China Ministry of Commerce's exemption for Nexperia exports will be implemented.

Would the EU allow itself to be taken hostage by the Dutch government in the context of Sino-US truce, opening a globally watched "new battlefield" between China and Europe? No one believes the EU wants to take the spotlight, causing themselves trouble. So what exactly is the Netherlands trying to do? Is it trying to help the US, which is already retreating, to "block" the way? Is it trying to escalate the Nexperia crisis as a "alarm bell" to push Europe to endlessly exaggerate the "risks" coming from China?

The problem is that this crisis was entirely created by the cooperation between the Netherlands and the US, with the complicity of European public opinion. Now, the US has left both the Netherlands and Europe in limbo. Even according to Western radical geopolitical thinking, responding to their ideology, this script has already fallen apart, been exposed, and is no longer feasible. The role of the Dutch at this moment is very ridiculous.

The Netherlands is a small country. Only the success of globalization can support the high-income dividends of such a small country. Now, it is getting stuck with some forces in Europe, imitating the hegemonic behaviors of the US as a superpower, and it is certain that they will become more absurd and increasingly trapped, drinking the bitter wine they brewed themselves.

Original: www.toutiao.com/article/1847872464971786/

Statement: The article represents the views of the author.