As interventions go it was pretty audacious. The Dutch government decision at the end of September to take over Nexperia, a Chinese-owned chip factory, almost brought the entire European car industry to a halt. Tensions between Europe and China de-escalated over the weekend as Beijing confirmed it would ease restrictions on automotive chip supplies to the EU, prompting sighs of relief in car factories around the world. But it has only intensified the questions about the EU’s asymmetric relationship with China, with many in industry, diplomacy and governments asking if…
Tag: Business
UK transport and cyber-security chiefs investigate Chinese-made buses
The UK is to investigate whether hundreds of Chinese-made buses can be controlled remotely by their manufacturer, amid increasing concerns over Beijing’s involvement in British infrastructure. The Department for Transport and the National Cyber Security Centre are examining whether buses made by Yutong could be vulnerable to interference. A spokesperson for the Department for Transport said: “We are looking into the case and working closely with the UK’s National Cyber Security Centre to understand the technical basis for the actions taken by the Norwegian and Danish authorities. “The department takes…
China poised to lift ban on chips exports to European carmakers after US deal
The vital flow of chips from China to the car industry in Europe looks poised to resume as part of the deal struck last week between Donald Trump and his Chinese counterpart, Xi Jinping. The Netherlands has signalled that its standoff with Beijing is close to a resolution amid signs China’s ban on exports of the key car industry components is easing. The dispute began when the Dutch government took control of the chipmaker Nexperia at the end of September after the US raised security concerns about the company’s Chinese…
Driving competition: China’s carmakers in race to dominate Europe’s roads
When Tesla wanted to catch the eye of British buyers, it put its cars and bright signage at a dealership in west London’s prominent Hogarth roundabout. Exposure to half a million drivers every day helped the US carmaker to become the dominant electric vehicle seller in the UK. Yet drivers passing by that site now see something different: twin Chinese brands Omoda and Jaecoo, both owned by the state-controlled manufacturer Chery. Chinese cars are on a roll across Europe – they outsold Korean rivals in western Europe for the first…
China accuses Dutch of prolonging chip war that threatens to halt car factories
Carmakers around the world are facing fresh uncertainty about their ability to continue production after China accused the Netherlands of failing to cooperate on resolving a dispute over the seizure of the chipmaker Nexperia. The Dutch government took control of the EU-based automotive chipmaker at the end of September because of concerns about the company’s Chinese parent, Wingtech Technology. In response, China halted exports of Nexperia products, restricting access to the vital components used in everything from airbags to central locking. Carmakers including Volkswagen, Honda and Nissan have warned tthe…
The president who cried tariffs: will the US supreme court challenge Trump’s trade war?
Donald Trump thrives on emergencies. He cried havoc on the very first day of his second term, declaring a national emergency caused by an “invasion” of “illegal aliens” from Mexico. He has since invoked emergencies more than any president since the passage of the National Emergencies Act in 1976. Next Wednesday, he faces another of his own making, as the US supreme court hears oral arguments on whether his globe-shaking signature economic policy – tariffs – is legally valid. Trump sees emergency everywhere. From the flow of illegal drugs and…
Nexperia halts chip supplies to China in threat to global car production
Nexperia, the EU-based automotive chipmaker at the centre of a geopolitical dispute, has suspended supplies to its Chinese factory, stepping up a trade war that threatens to halt production at carmakers around the world. The company wrote to customers this week informing them all supplies to a Chinese plant had been suspended. In September, the Netherlands used national security laws to take control of the chipmaker, citing concerns that its Chinese owner, Wingtech Technologies, was planning to shift intellectual property to another company it owned. The Dutch government said that…
Era of free trade and investment is over, Canada’s PM tells Apec summit
The Canadian prime minister, Mark Carney, has warned that the era of free trade and investment that formed the foundations of the postwar global economy has ended. In a stark message to Asia-Pacific leaders at the Apec summit in South Korea on Friday, Carney said rules-based open trade no longer worked in a global economy that was undergoing one of its most profound periods of change since the fall of the Berlin Wall in 1989. “The old world of steady expansion of rules-based liberalised trade and investment, a world on…
Five key takeaways from Donald Trump’s meeting with Xi Jinping
As Donald Trump flew out of Busan airport in South Korea after his meeting with China’s Xi Jinping, the US president sounded upbeat about progress made during less than two hours of talks. Trump discussed the outcome of the meeting, which he described as a 12 on a scale of one to 10, with “an outstanding group of decisions made”. He added: “We’ve come to a conclusion on many important points.” A Chinese statement quoted Xi saying the two countries had “good prospects for cooperation”, and relations had maintained “overall…
‘We don’t always see eye to eye’: Xi and Trump on crunch trade talks – video
Donald Trump said the US and China had agreed ‘to a lot of things’ during trade talks in South Korea, and would be having further discussions. The US president described Xi Jinping as ‘distinguished and respected’, while the Chinese leader said: ‘We do not always see eye to eye with each other, and it is normal.’ Trump hailed the trade talks as ‘amazing’, saying the dispute over the supply of rare earths had been settled and that he would visit China in April The Guardian