Dutch Court Orders Probe into Nexperia Tensions, Impacting China-Europe Relations

A Dutch court has ordered an investigation into Nexperia over alleged mismanagement, marking a significant development in the ongoing corporate tug-of-war between Europe and China. This decision permits the continued leadership of the European management team installed after a state intervention last year, against the interests of Chinese parent company Wingtech.

The conflict at Nexperia, whose tensions have rippled from business boardrooms to political capitals, has disrupted chip supplies crucial for the automotive industry. Judges at the Amsterdam Enterprise Chamber emphasized a need for stability to restore internal relations and production chains.

As the investigation unfolds, emergency measures including the suspension of former CEO Zhang Xuezheng and rerouting shareholder voting rights to an administrator will persist. Meanwhile, Wingtech faces limited prospects of regaining control prior to its planned expansion in Malaysia, underscoring a strategic pivot toward non-Chinese chip sources.