Assignment - Nov 2025
*Announcement
Please read our other news articles on The Economy, before you step on the test assignment. The Economy is a media arm of an AI/Finance research institution, and we would like to keep all our writing pieces at high quality for intellectual audiences.
For this position, we require multi-layered event tracking, integration of several perspectives, and deeper geopolitical, economic, and diplomatic analysis, which is why below Talking Point has long introduction of current and previous events along with potentially related incidents to help readers understand the real background of the situation.
Reference article: China exempts chips used by carmakers from export curbs
Lead-in:
- China finally is stepping back, but I think it will be one of the “lessons learned” cases for the entire Europe. When one strategically important company is sold to a Chinese-owned company, it will practically become a Chinese government–owned company, and the decisions can be significantly influenced by the government.
- Going forward, for any business where Chinese companies come as a buyer, EU governments will be unlikely to approve the sale. Japan and South Korea already have similar experiences (in #3).
Talking Point
More Reference articles - For detailed explanation of the current event
Events happened before the current news - Dutch did its own disservice. EU did its own disservice. China played an 'emperor' as it used to do
- Europe’s Nexperia Move: A Self-Inflicted Supply Shock
- Nexperia Chip Dispute Disrupts Global Car Production
- Nexperia fiasco sees the Netherlands angering China
- Netherlands mocked as ‘pirate’ after taking over China’s Nexperia
From the responses in China, Europe, and the U.S., it seems clear that each party has surprisingly different views. The Chinese see it as theirs and claim that the Dutch are stealing their assets. The Dutch, and generally Europeans, see the exact opposite. The U.S. is simply losing its value chain by not helping the Dutch protect their own intellectual property back in 2019.
This event must have been a lesson for the Western hemisphere to see how the Chinese capital–government association operates globally.
Extension to understand the deeper background - South Korea / Japan have had numerous cases similar to Nexperia. East Asians have good grasp of what China does in the international business arena
The South Korean carmaker had been out of business for decades, and it has been reported repeatedly that the Chinese buyer took what they wanted and left it bankrupt. In 2004, before the Korean government allowed the sale to the Chinese buyer, the first condition required domestic buyers to save the near-bankrupt company. For the Chinese buyer, at the brink of bankruptcy, the tough condition was removed.
Another similar case involves a Korean local retail giant that lost billions in China. The Chinese government does not allow foreign companies to sell down their assets and cash out. Basically, once it goes to China, it is no longer yours — it becomes China’s.
Japanese and Korean companies already have about 20 years of experience dealing with Chinese public and private sectors, as well as the general public, so they are now in a retreat mode. The EU still lacks that experience. This Nexperia event can serve as an alarming example for all EU governments.
For China to play the role of a global leader, Chinese officials must understand what “respect” really means. If China continues acting like an emperor even in the 21st century, foreign capital will only stay distant — as Japanese and Korean investors are doing now. As much as this is a “lesson learned” case for the EU, it should also be studied and reflected upon within the Chinese cabinet.