China has formally called upon the Dutch government to proactively resolve the escalating semiconductor dispute involving Nexperia, following a Dutch court’s decision to investigate alleged mismanagement by Chinese parent company Wingtech Technology. The diplomatic confrontation highlights growing tensions in global chip supply chains.
Chinese Foreign Ministry spokesperson Lin Jian asserted Thursday that “the root cause of the Nexperia issue is the improper administrative intervention of the Dutch side in business operations.” He emphasized that Netherlands must “create enabling conditions for companies to resolve internal disputes” while maintaining stability in global semiconductor supply chains. Beijing pledged continued support for Chinese companies protecting their lawful rights and interests.
The diplomatic demand follows the Enterprise Chamber of the Amsterdam Court of Appeal’s decision to investigate Nexperia’s corporate governance while maintaining the suspension of CEO Zhang Xuezheng, Wingtech’s founder. The court identified multiple governance concerns including conflicts of interest, unilateral strategy changes without internal consultation, violation of agreements with Dutch authorities, and restriction of European managers’ powers.
Financial repercussions have already emerged, with China Chengxin International Credit Rating downgrading Wingtech’s long-term credit rating from AA- to A with negative outlook, citing significant operational and financial impacts from losing control over Nexperia.
Wingtech expressed “profound disappointment and strong dissatisfaction” with the Dutch court’s ruling, calling it “self-contradictory and logically flawed.” The company argued the current interim management cannot conduct effective investigations and instead demanded investigation into Nexperia’s interim management.
The dispute originated in September 2025 when Washington tightened sanctions rules, prompting Dutch intervention under its Goods Availability Act. Although the Netherlands ended direct control in November, Zhang remains barred from leadership. Nexperia’s current interim leadership, including CEO Stefan Tilger, continues operations despite the challenges.
Industry analysts suggest the hardened Dutch position reflects broader geopolitical alignments, with the new Dutch cabinet featuring several China-hawk officials including Trade Minister Sjoerd Sjoerdsma (sanctioned by China in 2021) and Infrastructure Minister Vincent Karremans (previously involved in Nexperia intervention).
With Wingtech projecting massive 2025 losses of 9-13.5 billion yuan ($1.25-1.88 billion), the company has initiated legal proceedings that could lead to an $8 billion international arbitration case if not resolved by April 2026. Meanwhile, Nexperia China has begun supply chain restructuring, establishing Dongguan as its global headquarters and implementing data security measures in European operations.