Wingtech, the Chinese parent company of Netherlands based semiconductor firm Nexperia, accused its Dutch unit on Friday of attempting to permanently strip it of control and restructure the company toward a “non Chinese supply chain.”
The sharp statement followed an open letter published a day earlier by the Dutch arm of Nexperia, deepening a corporate and geopolitical rift that began after the Dutch government seized the company two months ago.
The dispute has emerged as one of the most high profile cross-border corporate confrontations this year, reflecting rising scrutiny of Chinese ownership in Europe’s technology sector.
Nexperia’s Dutch unit appears at the center of the conflict, with both sides trading allegations amid unresolved legal and diplomatic battles.
The standoff began in September when The Hague ordered the temporary seizure of Nexperia under the Netherlands’ investment screening law, citing concerns about national security and the risk of strategic technologies shifting under foreign control.
Nexperia manufactures power semiconductors and components used across automotive, industrial and consumer electronics.
Shortly after the seizure, an Amsterdam court temporarily stripped Wingtech of its voting rights and formal oversight of Nexperia, placing decision making authority under Dutch supervision. Wingtech, one of China’s largest electronics manufacturers, had acquired full ownership of the company in 2019.
While the Dutch government suspended the seizure last week following negotiations with officials in Beijing, the court ruling limiting Wingtech’s authority remains active. The unresolved status leaves Nexperia’s Dutch unit and its Chinese parent in a legal limbo.
In its open letter, the Dutch leadership of Nexperia said it had “made repeated attempts to restore dialogue” with Wingtech but had received no response.
“We have sought a constructive, company first approach,” the letter stated, adding that the unit was operating under “exceptional pressure.”
Wingtech rejected that assertion, accusing its subsidiary of withholding information and pursuing internal restructuring that would undermine its ownership. It said Nexperia’s Dutch unit was “conspiring to remove Chinese influence permanently.”
Analysts say the dispute underscores the tightening regulatory environment around semiconductor supply chains in Europe. Dr. Laura Wiegand, a technology governance expert at the University of Bonn, said the case is “a reflection of Europe’s shifting posture toward Chinese investment in critical infrastructure.”
“European governments are increasingly concerned about supply chain dependencies and strategic technology transfers,” Wiegand said.
“The standoff between Wingtech and Nexperia’s Dutch unit is not just a corporate conflict but part of a wider political recalibration.”
Trade law specialist Marco Ellens of Amsterdam based firm Recht & Handel noted that the court’s decision to strip voting rights from a foreign parent is “extremely rare” and indicates the level of perceived risk.
“This is a strong signal that the Dutch government and courts are prepared to intervene aggressively when they suspect national security implications,” Ellens said. “It places companies like Nexperia in the middle of a geopolitical contest.”
Chinese foreign policy scholars say Wingtech’s public criticism suggests Beijing sees the case as part of broader Western restrictions on Chinese technology firms.
Prof. Zhao Ming of Shanghai International Studies University said the situation “feeds into Beijing’s longstanding concerns about economic containment.”
Europe has strengthened its investment screening laws over the past three years, particularly around semiconductors, renewable energy equipment and telecommunications.
According to the European Commission, foreign direct investment screenings rose by thirty percent last year. Nearly one third of the cases involved Chinese linked entities.
The Netherlands has reviewed nine Chinese technology investments since 2022, three of which resulted in partial or full intervention.
By comparison, Germany blocked the takeover of a semiconductor plant by a Chinese company in 2022, while the United Kingdom ordered the divestment of a Chinese owned chip plant in Newport that same year.
“Nexperia is not operating in a vacuum,” Ellens said. “Governments across Europe are recalibrating their risk tolerance in the semiconductor industry.”
Economist Sarah de Bruin of Leiden University said the tension between Wingtech and Nexperia’s Dutch unit is “emblematic of the global race to secure chip manufacturing capacity.”
“Semiconductors have become as geopolitically sensitive as energy,” she said. “Every country wants control, and every corporate dispute now has national security undertones.”
In Nijmegen, where Nexperia operates one of its major facilities, employees expressed concern about the prolonged uncertainty.
“People just want stability,” said Mark de Vries, a senior process engineer who has worked at the plant for seven years. “We are proud of our work, but we’re stuck between governments and corporate boards.”
Local business owners say the situation has created unease among suppliers. “We depend on long term contracts, and right now nobody knows what decisions will be made at the top,” said Karin van den Berg, who runs a logistics firm that services the semiconductor cluster.
Residents also worry about political tensions affecting local jobs. “We hope the government and the company can find a solution,” said Nijmegen resident Ingrid Bos. “The last thing we want is for the factory to become a casualty of international politics.”
For Wingtech employees in Shanghai, the sentiment is similar. “We’re watching closely,” said a staff member who requested anonymity because he was not authorized to speak publicly. “This affects the whole company, not just Europe.”
Diplomats in Beijing and The Hague have continued discussions over Nexperia’s future, but officials say the court’s legal restrictions will not be easily overturned. Any resolution may require months of negotiations, appeals or structural changes to the company’s governance.
Experts say a forced separation between Wingtech and Nexperia’s Dutch unit remains a possible outcome if courts determine foreign ownership poses “unacceptable risks.”
Others believe the Dutch government may push for a hybrid arrangement that preserves European oversight while allowing Wingtech limited control.
“We may see a compromise similar to the models used in critical infrastructure, where foreign owners operate under strict regulatory supervision,” Wiegand said.
The confrontation between Wingtech and Nexperia’s Dutch unit reflects deepening geopolitical frictions shaping the global semiconductor industry.
With legal rulings still in effect and political negotiations ongoing, the company remains caught between national security concerns and international business ties.
Both sides face prolonged uncertainty as courts, regulators and diplomats work toward a resolution that balances economic interests with strategic priorities.
