Tensions Flare in the Chip Manufacturing Industry

Wingtech, the Chinese parent company of Nexperia, accused its Dutch unit of conspiring to create a non-Chinese supply chain. An Amsterdam court stripped Wingtech of control over Nexperia, maintaining tension despite The Hague pausing a government seizure. Dialogue efforts have reportedly failed.

In a dramatic escalation within the chip manufacturing industry, Wingtech, a Chinese tech giant and parent company of the Netherlands-based Nexperia, has charged its Dutch unit with conspiring to construct a non-Chinese supply chain, effectively sabotaging its control.

This accusation follows a tumultuous period where Nexperia's Dutch and Chinese factions have been embroiled in a fierce standoff. The conflict intensified when the Dutch government took control of Nexperia two months ago, resulting in an Amsterdam court stripping Wingtech of its leadership over the chipmaker.

Although there was a temporary reprieve from The Hague following discussions in Beijing, the court's decision stands firm, meaning Wingtech has not regained its authority. Despite efforts to revive dialogue through multiple attempts by Nexperia's Dutch unit, the overtures have fallen on deaf ears.

(With inputs from agencies.)