A Dutch court in Amsterdam announced on Wednesday that it will conduct a formal investigation into Nexperia, the China‑backed semiconductor maker headquartered in the Netherlands.
The court’s decision follows accusations of mismanagement and questionable decision‑making within the company, which is owned by Chinese group Wingtech. Officials said there are “reasonable grounds to doubt the soundness of Nexperia’s business policy and conduct,” prompting a multi‑month inquiry.
In October, the same chamber temporarily removed Nexperia’s Chinese CEO, Zhang Xuezheng (often referred to as Mr Wing), citing concerns over his handling of the business. The court also placed all but one share of the company under the control of an independent judicial administrator.
Wingtech’s lawyers have described the Dutch intervention as “incomprehensible,” arguing that the dispute has been unnecessarily escalated. Mr Wing did not attend the recent hearings, and his counsel warned that the case has taken a toll on his health.
The Dutch government has also invoked a Cold‑War‑era law to gain temporary control of Nexperia, a move that provoked an immediate response from Beijing. China quickly blocked further exports of Nexperia chips, disrupting the supply chain that moves wafers from Europe to China for finishing before they are shipped back to customers worldwide.
European carmakers, including Volkswagen, have warned that a shortage of these components could halt production lines that rely heavily on embedded electronics.
After high‑level trade talks between President Xi Jinping and former U.S. President Donald Trump in late October, Beijing agreed to resume exports. In turn, the Netherlands announced it would suspend the emergency expropriation procedure.
The United States has already placed Wingtech on its “entity list,” arguing that the firm poses a risk to national security and foreign policy.