Automotive industry accelerates in Frankfurt, Nexperia resolution nears

(Il Sole 24 Ore Radiocor) - Automotive stocks are accelerating on the Frankfurt Stock Exchange, buoyed by rumors of an imminent resolution to the Nexperia issue , a crucial chip supplier for the sector, which is at the center of a dispute between the Netherlands and China. Volkswagen is rising, followed closely by BMW and Porsche Automobil Holding Pref . The Mercedes-Benz Group is posting a more modest gain.

Bloomberg, citing sources familiar with the matter, reported that the Dutch government is willing to hand control of Nexperia back to Beijing if China resumes exports of essential electronic components. As early as Thursday evening, the Dutch government had indicated it expected an imminent resumption of deliveries of Nexperia chips from China. Microprocessor supply difficulties, with the associated risks to auto manufacturing, began after the Dutch government took control of the Nijmegen-based company, owned by the Chinese group Wingtech, in September, citing national security concerns . In response, China blocked exports of Nexperia products, including chips for the automotive industry, whose final processing takes place in the country. According to Dutch authorities, the takeover of Nexperia was motivated by mismanagement by the company's Chinese management. The Hague maintains that the government's intervention against Nexperia was not a measure directed against China. Wingtech acquired control of Nexperia in 2019.