Nexperia’s Control Crisis Triggers Turmoil in the Global Power Semiconductor Market

The Dutch government’s intervention in the control of Nexperia (Anshi Semiconductor) is triggering a chain reaction of turmoil in the global power semiconductor market. This leading player, which holds 15% of the world’s MOSFET production capacity, has seen the capacity utilization rate of its Dutch factory plummet from 92% to 81% since receiving an asset freeze order on September 30. Additionally, the expansion plans for three automotive-grade MOSFET production lines at its Dongguan packaging base—facilities responsible for 40% of the world’s relevant packaging tasks—have been put on hold.

The supply contraction has quickly rippled through to end-users. Data released by SEMI (Semiconductor Equipment and Materials International) on October 16 shows that the inventory turnover days for global automotive power semiconductors have dropped sharply from 35 days to 22 days. During the Munich Motor Show, German automakers revealed that the lead time for 650V MOSFETs has been extended to 24 weeks, with costs rising by 18%. Meanwhile, Tesla’s Berlin Gigafactory has urgently initiated product certification for STMicroelectronics’ alternatives, though compatibility testing will take 3 months.

Competitors are seizing the opportunity to expand their market share. On October 15, Infineon announced the early commissioning of its 8-inch SiC (silicon carbide) factory in Malaysia, with a monthly production capacity of 20,000 wafers, to capture the automotive semiconductor market. STMicroelectronics has launched an “emergency replacement package” that includes design solutions, offering a 10% discount on first orders. On the customer side, Bosch has reduced its reliance on Nexperia for procurement from 45% to below 20% and added a €300 million order with China Resources Microelectronics. Seventeen of the world’s top automotive electronics companies have also launched dual-supply chain systems.

The Dutch government’s intervention this time was carried out under the Commodity Supply Act, a move criticized by the SEMI President as “destroying the industrial ecosystem.” Currently, Nexperia’s equity has been placed under third-party custody, with an interim CEO taking over operations. However, the launch plan for its new 1200V MOSFET product has been indefinitely delayed, and the competitive landscape of the global power semiconductor market is being reshaped.