Tensions Peak as Nexperia Chases Supply Chain Restoration Amid Governance Chaos

Wingtech, Nexperia's Chinese parent, seeks talks on company control following strained relations worsened by Dutch court intervention. The ongoing governance impasse has impacted global chip supply, essential for automakers. While operational restoration is Nexperia's focus, Wingtech prioritizes resolving ownership issues, as disputes affect international production.

The Dutch chipmaker Nexperia, part of Chinese giant Wingtech, faces a governance struggle threatening global supply chains. On Wednesday, Wingtech sought talks with court-appointed managers controlling Nexperia, marking a potential shift amid growing tensions between the two firms.

The dispute escalated following a Dutch court's decision to remove Wingtech founder Zhang Xuezheng from his CEO role. Disagreements over production location have caused chip shortages impacting automakers worldwide. Despite eased government restrictions, the courtroom battle continues.

While Nexperia pushes for a return to operational normalcy, Wingtech insists on re-establishing its control as a prerequisite for negotiations. With dwindling chip stocks, fears of renewed shortages loom over the car industry, intensifying the urgency of resolving the impasse.

(With inputs from agencies.)