Washington: The United States is expected to announce that Nexperia’s manufacturing and packaging plants in China will soon resume shipments, signaling progress in trade talks between Washington and Beijing. The decision is aimed at stabilizing global supply chains that were under strain after recent restrictions affected the flow of key semiconductor components.

The move follows weeks of negotiations between the United States, China, and the Netherlands. In October, Dutch authorities seized control of Nexperia, a chipmaker based in the Netherlands and owned by China’s Wingtech Technologies, citing national security and corporate governance concerns. The seizure led to disruptions in exports from Nexperia’s Chinese facilities, sparking fears of a shortage in the global auto industry.

Nexperia is one of the world’s main producers of essential semiconductors used in vehicles and consumer electronics. Automakers, including Honda and Stellantis, had warned that production could be affected if the flow of these chips did not resume soon. These small components, such as transistors and diodes, play a critical role in car safety and energy systems.

Officials familiar with the talks said the White House plans to announce the reopening of shipments as part of a broader understanding with Beijing. China’s Ministry of Commerce is also expected to approve export exemptions to ensure that supplies continue without further interruptions.

This development comes after tensions escalated earlier this year when the United States raised concerns about Nexperia’s Chinese leadership and the possible transfer of sensitive technology. The Dutch government intervened under U.S. pressure, which temporarily halted operations and drew criticism from Beijing.

Industry experts say the planned resumption of shipments could prevent another global chip shortage, a situation that has disrupted car and electronics manufacturing in recent years. However, they warn that the agreement may only be a short-term fix as geopolitical risks continue to affect semiconductor trade.

Analysts believe the move reflects a pragmatic step from both governments to protect key industries from further disruption. It also highlights how even simple chip components have become central to global economic and political negotiations.

The official announcement from the White House is expected soon, outlining the conditions under which Nexperia’s Chinese plants will resume exports. The company has not yet released a statement, but automakers have expressed cautious optimism as they await confirmation that supplies will return to normal in the coming days.