China's commerce ministry has issued a warning of potential global semiconductor supply chain disruptions arising from ongoing conflicts between Dutch chipmaker Nexperia and its Chinese subsidiary. The disruption in production within the global auto industry in October was a result of Beijing's export controls on Chinese-made Nexperia chips following the seizure of the company by The Hague from its Chinese parent company, Wingtech. The chips produced by Nexperia are integral components in the electronic systems of automobiles.
Although the chip shortage had started to alleviate due to diplomatic negotiations, tensions between Nexperia's Dutch headquarters and its China-based unit have heightened. The Dutch headquarters has supported the removal of Wingtech's control, while the Chinese subsidiary has insisted on restoring this control. China's commerce ministry expressed concerns about these developments, stating that they could lead to new conflicts and pose challenges to company-to-company negotiations.
The ministry emphasized that Nexperia Netherlands' actions have disrupted the company's regular production and operations. It warned that if this situation were to escalate into another global semiconductor crisis, the Netherlands would be held fully responsible. Meanwhile, Nexperia's Dutch entity responded to the allegations by the Chinese packaging arm, neither confirming nor denying the actions taken against the office accounts in China. The Chinese subsidiary had previously declared its independence from the Dutch parent company in response to the removal of Wingtech's control, leading to a series of accusations and disputes between the two entities.