Volkswagen official calls for swift diplomatic solution to Nexperia dispute
Volkswagen supervisory board member Olaf Lies has urged a rapid diplomatic resolution to the escalating trade dispute between China and the Netherlands over Dutch chipmaker Nexperia, warning that the standoff could disrupt automotive production across Europe.
Speaking to broadcaster ARD on Monday, Lies — who also serves as premier of Lower Saxony, Volkswagen’s home state and a 20% shareholder — said the issue cannot be solved by industry alone and called for government intervention, News.Az reports, citing Reuters.
“We now need a diplomatic solution very quickly so that production can continue for the time being,” Lies said. “But beyond this diplomatic solution, we also need a little less dependency.”
The conflict began after the Netherlands seized control of Nexperia, whose Chinese parent company, Wingtech, has been identified by the U.S. as a potential national security risk. In retaliation, China banned exports of Nexperia’s finished products, putting pressure on automakers and suppliers.
Volkswagen has warned of possible production stoppages, while supplier Bosch is preparing to furlough staff if the situation continues. Lies emphasized that full independence from China is unrealistic but said Europe must boost its competitiveness in chip manufacturing.
“The state and the EU must ensure that we can produce competitively in Europe,” he added.
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