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UK business secretary puts Wingtech's acquisition of Newport fab in 'national security review'!

2022-05-27 09:44:11Mr.Ming
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UK business secretary puts Wingtech's acquisition of Newport fab in 'national security review'!

In early April, "the British government agreed to China's acquisition of the Newport Wafer Fab", and then at the end of April, 9 US congressmen jointly wrote a letter calling on Biden to intervene and block the Nexperia merger. In their letter It is 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.

 

On May 25, UK Business Secretary Kwasi Kwarteng tweeted that the takeover had been called for a full national security review.

 

Kwasi Kwarteng claimed that it will conduct a comprehensive assessment under the new National Security and Investment Act, "We welcome overseas investment, but cannot threaten the national security of the UK."

 

Notably, Prime Minister Boris Johnson said last year, when asked if he would sell the semiconductor maker, that he did not want to drive Chinese investment out of the UK because of an "anti-China spirit".

 

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.

According to the latest news from the British media, Wingtech executives will soon fly to the UK in person to meet with senior officials of the British government. Nexperia CEO Toni Versluijs also further stated: Nexperia is a Dutch company with a long European history, so there is no national security issue.

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