Chinese government wades into Dutch chipmaker dispute — presses Netherlands to resolve Nexperia saga as supply concerns grow

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(Image credit: Getty / NurPhoto)

China has called on the Netherlands to move quickly to resolve the dispute surrounding Nexperia, the Dutch semiconductor manufacturer owned by China’s Wingtech, after months of supervision measures and a retaliatory export freeze disrupted shipments of basic components used across the automotive and electronics industries.

The request was delivered on Thursday by China’s Ministry of Commerce, which said the Dutch government must take “effective efforts” to restore normal corporate governance and supply chains.

According to reporting by government-controlled China Daily and ministry spokesman He Yadong, Wingtech sent a formal invitation to Nexperia’s independent directors and equity trustees to visit China for discussions over control of the company and ways to stabilize output. China, he said, has asked the Dutch Ministry of Economic Affairs through its embassy in Beijing to implement previously agreed arrangements and facilitate the visit. He described the dispute as a product of “undue administrative interference” by the Dutch state and urged The Hague to create conditions that allow internal corporate negotiations to proceed.

Officials argued that they needed to prevent technology transfers that could weaken domestic control over legacy chip production. A Dutch court then suspended Wingtech-appointed executives, handed share voting rights to a court-appointed trustee, and reshaped the board to curb Wingtech’s influence.

What happens next depends on whether the Netherlands permits Nexperia’s officials to travel for negotiations and whether those talks can address the governance split that has left the company’s European and Chinese operations out of sync. Until then, the dispute remains a risk for industries that rely on steady flows of the low-margin components that rarely draw attention until they stop flowing.

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Luke James
Contributor

Luke James is a freelance writer and journalist.  Although his background is in legal, he has a personal interest in all things tech, especially hardware and microelectronics, and anything regulatory.