BRUSSELS:The European Commission stated on Monday that it could not confirm whether China has fully lifted export controls on rare earth materials and Nexperia chips destined for European industries, despite recent optimistic signals from the United States.
The caution from the EU executive comes after the White House announced that China had agreed to ease restrictions following a meeting between U.S. President Donald Trump and his Chinese counterpart Xi Jinping last Thursday in South Korea. Top EU trade diplomats had also argued that any resulting trade truce would necessarily include Europe.
The issue of export controls emerged when key components and raw materials—crucial for various European industries—found themselves entangled in a trade dispute that began following President Trump’s return to power in January 2025.
The EU automotive industry has been particularly hard-hit by supply chain shortages after the Dutch government took temporary control of the chipmaker Nexperia last month. Nexperia, owned by China’s Wingtech but based in the Netherlands, faced the Dutch government intervention due to what were described as “serious governance shortcomings.” China subsequently imposed export control restrictions as a direct result of this action.
Commission deputy chief spokesperson Olof Gill confirmed on Monday that the EU executive is actively seeking clarity from Beijing.
“The Commission has been in regular contact with all sides to provide a swift and effective resolution to the question,” Gill said. He added that the EU executive was “engaging” with the Chinese government to fully understand Beijing’s commitment to ensuring the continued supply of Nexperia’s chips to European customers.
Following the Trump-Xi meeting, the White House reported that “China will take appropriate measures” to ensure the flow of chips from Nexperia’s facilities in China, specifically to “allow production of critical legacy chips to flow to the rest of the world.”
While the issue was also a point of discussion during a high-level meeting between Chinese and EU officials in Brussels last week, the Commission’s statement indicates a lack of definitive, formal confirmation that all restrictions impacting EU trade have been entirely removed. The EU is prioritizing the restoration of stable supply chains for its strategic industries.