Nexperia China Secures Wafer Supplies Amid Corporate Dispute

Nexperia's Chinese unit has secured local silicon wafer supplies to cover 2026 production of Insulated-Gate Bipolar Transistor power chips. This follows supply disruption due to a corporate dispute when Nexperia's Dutch parent firm ceased material supplies, leading to chip shortages and increased tensions between China and the Netherlands.

In a strategic move, Nexperia's Chinese division has secured silicon wafers from local firms to meet its 2026 production targets for crucial Insulated-Gate Bipolar Transistor (IGBT) chips. The decision comes after supply disruptions when the Dutch parent halted raw material supplies amid a corporate dispute.

These IGBT chips, essential for regulating current in electric vehicles and industrial gear, faced potential rarity due to the simmering dispute following the Dutch government's takeover of Nexperia from Wingtech. The move led to significant geopolitical tensions and halted wafer supplies for the Chinese branch.

The controversy intensified when Beijing responded by blocking exports of finished products, causing shortages that rattled global automakers. Despite temporary easing, the dispute remains unsolved. With slim wafer reserves in Dongguan, Nexperia is collaborating with local suppliers like Wingsky Semi to ensure continuity.

(With inputs from agencies.)