Wingtech Technology’s chair, Ruby Yang, has cautioned that instability in the global semiconductor supply chain could persist, reported Bloomberg.
Her warning came as she said Wingtech needs to regain full control over Dutch subsidiary chipmaker Nexperia.
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Yang spoke to the news outlet, arguing that the Dutch authorities had violated a bilateral investment treaty signed with China.
She alleged that members of Nexperia’s local leadership were seeking personal advantage from the situation.
Yang reiterated Wingtech’s demand that its shareholder rights at Nexperia be reinstated and dismissed claims that technology had been improperly shifted to China.
She said the Dutch government and certain Nexperia executives were aligned in efforts to marginalise Wingtech’s role.
The conflict intensified after a Dutch court suspended Wingtech founder Zhang Xuezheng from his role as CEO of Nexperia and transferred Wingtech’s voting rights to court-appointed trustees.
Following that ruling, China operations of Nexperia cut links with the Dutch headquarters, and the Netherlands-based unit halted wafer shipments to Nexperia’s manufacturing site in Guangdong.
Nexperia is now effectively split into two separate operations.
One managed by court-appointed trustees in the Netherlands and another in China that remains under Wingtech’s influence.
The European unit relies on Asian assembly and test operations, while the Chinese side needs wafer supply from Europe, leaving both unable to fully replace each other’s role in the production chain.
Yang said: “It must be clearly stated that the direct and sole cause of the current supply disruption is the unilateral and unexpected halt of wafer supplies by Nexperia’s Dutch entity.”
Although Zhang has stepped back from his formal posts at Wingtech, Yang indicated he remains closely engaged in the dispute.
Wingtech has issued a notice of dispute to the Dutch government dated 15 October, Yang said.
If no solution is reached within six months, the company may pursue international arbitration and seek compensation.
She said potential claims could reference Wingtech’s internal valuation of Nexperia at about $8bn.
Concerns over alleged transfer of intellectual property to China have focused on a plan dating back to 2020 to establish a new wafer fabrication plant in Shanghai, known as WingSkySemi (WSS).
Under that plan, WinWorld, majority owner of Wingtech, was designated as the investment vehicle.
Yang said the Shanghai project formed part of Nexperia’s longer-term strategy and had been agreed by Dutch-based managers now opposing Wingtech.
Yang said: “Ironically, the Nexperia executives who initially signed that agreement are the very same three individuals who are now accusing Wingtech of misconduct.”
The executives have “used their dominance as the interim management to significantly raise their own salaries.”, according to her.
Nexperia said it “categorically rejects Wingtech leadership’s insinuations that the interim management acted for personal gain”.
The company also disputed Wingtech’s account of WSS, stating that during Zhang’s tenure, orders to the Shanghai facility were overstated to support its finances.
Wingtech later moved to remove the managers involved, it added.
From its Dutch base, Nexperia called on Nexperia China and Wingtech to re-engage in constructive cooperation, according to comments cited by Dutch-based Nexperia.
With the rift unresolved, Nexperia China has begun seeking alternative wafer sources domestically, while the Dutch-led business is working to build out assembly and test capacity at its Malaysian site.
Yang described this as showing an intention to loosen operational ties with China.
Wingtech has invited the court-appointed trustees to hold discussions, even as it appeals the Amsterdam court decision to the Dutch Supreme Court.
China’s Ministry of Commerce said a first round of talks between Wingtech and Nexperia representatives took place last week, and both sides agreed to keep talks going.
