Wingtech Technology has rejected a restructuring plan for its Dutch subsidiary, Nexperia, which would have stripped the Chinese firm of its control over international assets. The proposal suggested dividing the business into two parts, leaving Wingtech as a minority shareholder in the global operations while retaining control only over Chinese units. Wingtech described the plan as expropriation and discriminatory.
The conflict escalated in September 2025 when Dutch authorities intervened in Nexperia's management, citing national security concerns. A local court subsequently limited Wingtech's authority and appointed an independent administrator to oversee voting rights. Nexperia has since filed a lawsuit in the Netherlands against Wingtech, its founder Zhang Xuezheng, and Chinese units, claiming damages of approximately $2 billion.
Wingtech acquired Nexperia in 2019 for approximately $3.6 billion, following a 2016 acquisition of the business from NXP Semiconductors by a Chinese consortium. Nexperia produces basic semiconductor components for automotive, industrial, and consumer electronics, with an annual output exceeding 110 billion units. The dispute has already caused supply chain disruptions in the automotive sector.
Despite the ongoing legal battles, Wingtech has expressed a willingness to continue negotiations for a settlement. The situation remains part of broader tensions between China and Europe regarding technology control. Meanwhile, China has recently moved to expand its list of restricted export technologies, adding 40 new positions in sectors including artificial intelligence and biomedicine.
