China has lifted export controls on computer chips vital to car production, the country’s commerce ministry said on Sunday. Exemptions have been granted to exports made by Chinese-owned Nexperia for civilian use, it said, which should help carmakers who had feared production in Europe would be hit. At the same time, China has also paused an export ban to the US of some materials that are crucial in the semiconductor industry. The announcement marks an easing of trade tensions between Beijing and Washington after President Xi Jinping and his US counterpart Donald Trump agreed in October to reduce tariffs on each other and pause other measures for a year.
EU trade commissioner Maros Sefcovic announced in a post on X that China had agreed to “the further simplification of export procedures for Nexperia chips” and it would “grant exemption from licensing requirements to any exporter” provided the goods were for “civilian use”. (BBC)