Nexperia: Keep tech plant in Chinese hands, say staff

Staff from the UK's largest chip plant have urged ministers to allow the facility to stay in the hands of its Chinese owners.

Nexperia was ordered by UK ministers to sell its 86% stake in the Newport site, due to national security concerns.

About a dozen members of the Nexperia Newport Staff Association, which says it is "in disbelief", travelled to Westminster to put their case to MPs.

The UK government said it wanted to ensure jobs were protected.

Newport Wafer Fab was acquired by Dutch-based technology company Nexperia, a subsidiary of Shanghai listed Wingtech, in July 2021.

Semiconductors, or chips, made at the factory are used in millions of electronic products, from smartphones to household equipment and cars.

The plant specialises in making semiconductors that move power around a device.

A UK government review found the takeover created two risks to national security - that it could "undermine UK capabilities" in producing compound semiconductors, and could "facilitate access to technological expertise and know-how".

The firm said it was "shocked" by the ruling and would appeal against it.

On Wednesday, staff association member and principal engineer Denis Knight, from Newport, told BBC Wales: "No-one expected this decision.

"People are frustrated, they are angry, they do feel insulted: why would anybody think that anyone would put the security of this country at risk."

Mr Knight wants UK Business Secretary Grant Shapps to visit the site and speak to staff.

The group took a letter with them that has been sent to Mr Shapps from the staff association.

It said: "We are in disbelief that you have decided to order Nexperia to sell their semiconductor factory in Newport."

"You must see sense and protect our jobs by allowing Nexperia to keep their Newport factory. "

Another of those in attendance was team leader Gaynor Clark, also from Newport.

"We want our jobs, we need our jobs, we've got families to support," she said.

Ms Clark wants Nexperia to stay.

"They're a good company to work for, they've given us pay rises, they're putting money into building us new machines," she said.

She fears what would happen if another company were to takeover.

"There's no future without them [Nexperia], every time we have a small company they go under."

The delegation was hosted by Newport West Labour MP Ruth Jones, who said she would be seeking a meeting with the business secretary as soon as possible.

Mr Shapps acknowledged in the Commons, on Monday, that it was a "concerning time for 500 or so employees" at the plant.

But, answering a question from Ms Jones, he said that she was "not privy to the information that I have had to weigh up in order to come to this national security decision".

"Nor can I am afraid accede to her request to publish that information," he added.

The UK government said it would be inappropriate for the business secretary to meet Nexperia while the period for legal challenge remains open.

A UK government spokesman said: "Following a detailed national security assessment, the business secretary decided to issue a Final Order requiring Nexperia to sell at least 86% of Newport Wafer Fab to mitigate potential national security risks.

"We want to make sure that jobs are protected. We will be working with Nexperia to ensure that is the case."

The Welsh government said it would work with the company to ensure jobs at the site were protected.