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Netherlands Seizes Control of Nexperia as U.S.-China Tech Pressures Intensify

Court filings show U.S. officials tied potential export-rule relief to replacing the company’s suspended chief.

Overview

  • The Dutch government has imposed year-long control over Nexperia, restricting relocations and other major decisions to safeguard chip supply.
  • Nexperia said CEO Zhang Xuezheng was suspended by court order, and court documents detail U.S. pressure for a leadership change to gain entity-list relief.
  • A recent U.S. Commerce Department rule extends entity-list limits to subsidiaries at least 50% owned, bringing Nexperia under curbs as a 100% Wingtech unit.
  • China’s commerce ministry barred Nexperia’s China arm and its subcontractors from exporting certain components, and the company is seeking exemptions.
  • Analysts warn of potential supply disruptions because about 70% of Nexperia’s final shipments rely on its Dongguan packaging plant, and Wingtech has denounced the takeover and initiated legal and diplomatic challenges.