To block Nexperia merger, U.S. lawmakers collectively sent a letter to the White House

On April 21, local time, according to the Washington Times, a congressional task force aimed at countering the "China threat" sent a letter to U.S. President Biden last Tuesday (19th), calling for a possible threat to national security. The Biden administration has blocked plans to sell the Newport Wafer Fab (NWF) plant of Britain's largest semiconductor maker to Nexperia, a subsidiary of a Chinese company.

The letter suggested that if the UK does not accept US intervention, the US should include the Newport fab on the export control list, and even remove the UK from the "white list" of sensitive technology exports.

"This matter requires urgent action, and we urge the government to use all necessary tools to prevent this outcome, including direct diplomacy with the UK government," the letter, signed by nine Republican MPs, Michael McCaul, said. Reconsider the UK's status on the Committee on Foreign Investment in the United States (CFIUS) 'white list', as well as restricting exports to NWF, etc."

According to public information, Nexperia, formerly known as NXP's Standard Products Division, is headquartered in the Netherlands and has more than 60 years of professional experience in the semiconductor industry. It started independent operations in early 2017. It is currently a wholly-owned subsidiary of Wingtech Technology.

Nexperia is a subsidiary of Wingtech Technology in Amsterdam, the Netherlands, and is the main customer of Newport Wafer Fab equipment.

Newport Wafer Fab is the largest chip manufacturer in the UK, but compared with leading chip manufacturers such as TSMC and UMC, Newport Wafer Fab is not large and is currently in a state of loss. The plant currently employs about 450 people.

Nexperia’s acquisition of the Newport fab was announced in 2021, with a total transaction value of about 63 million pounds. According to public information, the Newport fab currently has about 450 employees, with an 8-inch wafer production line and a process The process is 0.18 micron, with a monthly production capacity of 3,200 pieces. Currently, it mainly operates the foundry business.