China has accused the Netherlands of causing “chaos” in the global semiconductor supply chain after Dutch authorities seized Chinese-owned chipmaker Nexperia, warning the disruption could affect global automobile production.

The Dutch government took control of Nexperia in late September over national security concerns. Nexperia, owned by China’s Wingtech Technology, temporarily halted wafer shipments from its Netherlands headquarters to its Chinese factory in Dongguan, sparking fears about the delivery of finished semiconductors critical for automakers. China initially blocked exports from the Dongguan plant but has since allowed them to resume.

China’s Commerce Ministry said the Netherlands “should bear full responsibility” for the turmoil. The Dutch government also replaced Nexperia’s Chinese CEO Zhang Xuezheng with interim CEO Stefan Tilger.

The standoff follows U.S. export restrictions on Wingtech and its subsidiaries, including Nexperia, citing national security risks. Global automakers, including Ford, have warned that the supply disruption could hamper car production.

Diplomatic efforts are ongoing: EU Trade Commissioner Maroš Šefčovič and Dutch officials said discussions with China are progressing toward “lasting stability,” while both sides have expressed willingness to find a “constructive solution.”

Nexperia, acquired by partially state-owned Wingtech in 2018 for $3.6 billion, was seized under the Netherlands’ rarely used Goods Availability Act, with Dutch authorities citing threats to key technological knowledge and capabilities in Europe.