China Again Threatens Chip Shortages in the Nexperia Dispute

New Escalation China Again Threatens Chip Shortages in the Nexperia Dispute

2026-03-09 From | Translated by AI 2 min Reading Time

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Beijing increases pressure on the Netherlands in the conflict over Nexperia. China sees new risks for the semiconductor supply chain and once again warns of consequences for the global industry.

Nexperia's assembly and testing fab in Guangdong, China.(Image: Nexperia) — Nexperia's assembly and testing fab in Guangdong, China.
(Image: Nexperia)

The dispute over the semiconductor manufacturer Nexperia is coming to a head again. China's Ministry of Commerce accuses the Dutch headquarters of having significantly impaired the company's production and operations by taking measures against its Chinese subsidiary. At the same time, Beijing is warning that the conflict could spill over into the global semiconductor supply chain.

According to the Chinese unit, the latest escalation was triggered by the blocking of user accounts for employees in China. Since March 3, this has massively hindered ordering processes, among other things. Although operations have now largely resumed, the Chinese side believes that the intervention has put additional strain on the ongoing negotiations.

Supply Chain Risk Comes Back into Focus

The Chinese Ministry of Commerce stated that the actions of the Dutch side had created "new conflicts" and created new hurdles for the talks. Should this lead to another crisis in global semiconductor production and supply, the Netherlands would be responsible according to Beijing's interpretation. The warning thus goes far beyond the corporate conflict and directly addresses the international industry.

This is particularly explosive for the automotive industry. Nexperia chips are widely used in electronic vehicle systems. The disputes surrounding the Group had already heightened concerns about supply disruptions in the fall, after export controls and the power struggle between Dutch headquarters and the Chinese subsidiary had put a strain on delivery capacity.

In mid-February, a court ruling in Amsterdam confirmed that the controls imposed by the Dutch government on Nexperia remain in place and ordered a further investigation. The background to this are earlier allegations that the Chinese owner Wingtech wanted to transfer technological know-how and production capacities to China. Following the intervention of Dutch authorities, the Chinese chairman was later suspended on the initiative of board members and interim management was appointed, which will now remain in office for the time being. As long as the court-ordered investigation is ongoing, which could take months, the risk of new tensions in the supply chain remains.

(sg)

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