Wingtech rejects allegations in Nexperia's $2 billion lawsuit, vows to mount legal defense if case formally proceeds

Chinese technology firm Wingtech Technology on Wednesday rejected a $2 billion compensation claim by its Dutch semiconductor subsidiary Nexperia, dismissing all allegations and disputing the damages sought. It also pointed out that Dutch court-appointed managers have discriminated against Chinese investors and sought to deprive the Chinese firm of its legitimate rights.

The response came after Nexperia B.V., the Dutch subsidiary of Wingtech, informed its Chinese parent through lawyers that it had initiated legal proceedings in Amsterdam against Wingtech, its founder Zhang Xuezheng and two China-based Nexperia entities.

The Dutch company alleged that the Chinese entities had breached internal agreements and that the defendants had built a separate supply chain in China, disrupting its operations and creating direct competition. It is seeking $2 billion in damages, plus statutory interest, according to a Wingtech filing to the Shanghai Stock Exchange dated Wednesday.

In the filing, Wingtech dismissed the allegations, claims of liability and damage calculations as unilateral assertions by Nexperia B.V. The company said it had not yet been formally served with a summons and, according to its understanding, the court had not formally registered the case.

“If the summons is formally served and the case registered, the company will engage overseas legal counsel to actively defend itself in accordance with the law and exercise all its legal rights of defense,” the filing said.

The lawsuit is part of a broader dispute over control of Nexperia. Wingtech disclosed that Dutch court-appointed managers had proposed a restructuring plan under which it would retain ownership and control of Nexperia's China operations, while outside investors would take majority control of its businesses elsewhere, leaving Wingtech with only a minority stake in those operations.

Wingtech rejected the proposal, saying the managers had never seriously considered allowing it to regain majority ownership of Nexperia. It accused them of taking a predetermined position driven by discrimination against Chinese investors and unreasonable geopolitical considerations.

“Regardless of how the managers attempt to disguise their actions as ‘negotiations on equal terms’ or pursue them through proceedings before the Dutch Enterprise Chamber, such conduct amounts in essence to an expropriation of Wingtech's legitimate investment,” the filing read.

Wingtech said the managers' discriminatory stance disregarded Nexperia's best interests and exposed the chipmaker to significant risks and uncertainty. It stressed that it had consistently been willing to engage in constructive talks toward a mutually agreed, sustainable long-term solution, but would not accept any arrangement unilaterally driven by the court-appointed managers without its consent.

The company added that it remained open to further discussions to explore a fair and constructive solution without compromising its position.

Meanwhile, Wingtech disclosed a new legal development in its favor, saying a court in Dongguan, South China's Guangdong Province, had barred six respondents in a related lawsuit from selling, transferring or diluting shares in Nexperia and its subsidiaries, or disposing of or placing encumbrances on specified intellectual property and other assets.

The ruling, which Wingtech received on Monday, took immediate effect, helping safeguard its investment interests amid the ongoing ownership dispute.

The dispute over control of Nexperia began in 2025, when Dutch authorities intervened in the chipmaker's operations and court measures stripped Wingtech of control over its subsidiary. Although the Dutch government suspended its administrative order in November 2025, the ownership dispute remains unresolved, with subsequent negotiations failing to produce an agreement.

China's Ministry of Commerce (MOFCOM) has said the Dutch side was responsible for disruptions to global semiconductor supply chains and that the Dutch court's “wrongful ruling” stripping Wingtech of control over Nexperia remained a key obstacle to resolving the dispute.

The ministry said both sides agreed that administrative intervention should be removed and that the companies should be supported in resolving their internal dispute through consultations in accordance with the law, while safeguarding investors' legitimate rights and interests and helping restore the security and stability of global semiconductor supply chains.

Global Times