Chinese firm seeks $8bn from the Netherlands over intervention at chip maker Nexperia
Chinese technology company Wingtech is demanding $8 billion in damages from the Netherlands due to its intervention at chip manufacturer Nexperia.
Image by Cybernews.
Follow us
Chinese technology company Wingtech is demanding $8 billion in damages from the Netherlands due to its intervention at chip manufacturer Nexperia.
In September 2025, the Dutch Department of Economic Affairs invoked the Goods Availability Act to take control of Nexperia because of “serious governance shortcomings and actions” within the company.
Zhang Xuezheng, the CEO of Nexperia, was engaged in a conflict of interest and tried to dismiss three critical, non-Chinese board members.
According to the Dutch government, these signals posed a threat to “the continuity and safeguarding on Dutch and European soil of crucial technological knowledge and capabilities.”
Shortly after the Netherlands intervened, European executives of the chip manufacturer filed a separate lawsuit against Xuezheng. The court ruled to suspend the CEO and transfer the control of the company to another party.
Wingtech, the Chinese owner of Nexperia, accused the Netherlands of staging a coup. In response, China blocked the export of chips from Nexperia’s factory. European car manufacturers and their suppliers were left in uncertainty for weeks because of potential chip shortages.
In November 2025, the Dutch government returned control of Nexperia to China, after Dutch diplomats smoothed things over with Beijing.
However, the story is far from over.
Check if your data was exposed
Find out if your email and related personal information have appeared in known data breaches.
According to Financieele Dagblad (FD), which bases its story on a press release from Wingtech, the company is initiating international arbitration proceedings against the Dutch government for meddling in its internal affairs.
“According to Wingtech, the Dutch intervention at its subsidiary Nexperia has led to significant operational disruption and financial losses. The Chinese company estimates those losses at approximately $8 billion,” the Dutch news outlet says.
Legal experts, however, feel that it’s unlikely Wingtech will be awarded the amount of damages it seeks.
Unlock more exclusive Cybernews content on YouTube.