The Nexperia-Wingtech Feud

The Nexperia Crisis: A Deepening Global Schism (Q2 2026)

The governance battle at Nexperia has transitioned from a boardroom dispute into a near-total operational split. As of April 2026, Nexperia B.V. (European HQ) and its Chinese subsidiary are operating as two separate, often hostile, entities. This “blackout” creates unprecedented risks for the global semiconductor supply chain.

The Rise of “Domestic-Only” Chinese Production

To bypass the European blockade of wafer supplies from Germany and the UK, the Chinese unit has accelerated its decoupling from Western silicon.

• 100% Domestic Pivot: Nexperia China is now transitioning to 100% domestic Chinese wafers for key power switches (IGBTs and MOSFETs). Notably, they are utilizing 12-inch domestic wafers, a shift from the 8-inch wafers traditionally supplied by Nexperia’s German facilities.

• The Authenticity Gap: Nexperia HQ has issued a global alert stating it cannot validate the authenticity or automotive-grade (AEC-Q101) status of any components produced in China using these non-validated local wafers.

• Capacity Strains: The Dongguan packaging facility is currently operating at 60-70% capacity, struggling with the transition to domestic silicon while relying on depleting stockpiles of original European die.

Strategic Guidance for Procurement

China Warns of New Global Chip Disruption (Q1 2026)

On March 7, 2026 China’s Ministry of Commerce has warned that escalating tensions could trigger another global chip supply crisis, following recent operational conflicts tied to ownership and control of the company.

The dispute has already had tangible consequences. In October 2025 when export controls on China-produced Nexperia chips disrupted automotive production worldwide, underscoring the company’s critical role in supplying semiconductors used in vehicle electronics.

Tensions intensified further after Nexperia’s Netherlands-based leadership reportedly disabled IT and employee accounts across its China operations, a move Beijing claims has disrupted normal production and complicated ongoing negotiations. While the Dutch entity has not denied the action, it disputes that manufacturing output at its Guangdong facility has been materially affected.

Compounding the issue, Nexperia’s Chinese subsidiary has declared operational independence and accused the parent company of acting in bad faith, while the Dutch headquarters has suspended wafer supply to the same facility, deepening the operational divide.

On September 30, 2025, citing national and economic security concerns, the Dutch government invoked emergency powers under the Goods Availability Act. The ministerial order was driven by serious concerns over governance shortcomings at Nexperia and the risk that critical technology and production capacity could become unavailable in the Netherlands and Europe in the context of an emergency. This led to an Amsterdam court suspending Wingtech’s authority and placing Nexperia shares under an independent trustee to safeguard the supply of critical goods.

In response, China issued export restrictions on Nexperia’s Chinese facilities, effectively suspending shipments of discrete semiconductor components destined for the EU and U.S. This restriction stalled approximately 70% of European-produced chips, as they rely on China for critical final assembly and packaging.

Nexperia’s HQ in the Netherlands has suspended wafer shipments to China (since October 29th). This action was taken amid reports from the Dutch side of severe governance issues in the China facilities, including:

• Misuse of Corporate Seals and Unauthorized Accounts

• Redirected Customer Payments

• The use of uncertified and unauthorized local wafers NOT from genuine sources in production, affecting all Nexperia chips with DC 2542+.