Wingtech Sues Nexperia in China Seeking Up to $1.2 Billion in Damages

Chinese semiconductor company Wingtech Technology has filed a lawsuit in China seeking up to 8 billion yuan, roughly $1.1 billion to $1.2 billion in damages and the return of control over Nexperia after Dutch authorities restricted its influence over the chipmaker on national security grounds.

Wingtech argues the Dutch measures amounted to unlawful “discriminatory restrictive measures” under China’s Anti-Foreign Sanctions Law, escalating the dispute into a wider legal clash between European state intervention powers and China’s counter-sanctions framework.

The case highlights growing tension between national security intervention measures in Europe and China’s expanding use of anti-sanctions laws against foreign restrictions.

Wingtech filed the claim before the Intermediate People’s Court of Dongguan City, asking the court to declare the actions taken by Dutch authorities and Nexperia unlawful.

The company is also demanding that Nexperia withdraw legal proceedings in the Netherlands linked to the dispute and take steps to persuade the Dutch Ministry of Economic Affairs to withdraw a ministerial decree issued last year that restricted Wingtech’s control over the chipmaker.

Although the Dutch measure was later suspended, it was not formally withdrawn, leaving broader ownership and governance disputes unresolved.

Wingtech further argues that if Nexperia fails to comply with the demands, ownership of Nexperia-related subsidiaries should be transferred back to Wingtech free of charge.

In addition, the Chinese company is seeking damages of up to 8 billion yuan, alleging that Nexperia actively cooperated with Dutch authorities in implementing measures that harmed Wingtech’s interests.

The litigation adds to a much larger financial confrontation already developing between the parties. Earlier this month, Wingtech reportedly sought up to $8 billion in damages from the Dutch state over its intervention involving Nexperia.

Semiconductor Disputes Are Increasingly Becoming Geopolitical Legal Battles

The case reflects a wider shift taking place across the global semiconductor industry, where ownership disputes and corporate governance issues are increasingly colliding with national security policies, sanctions measures and geopolitical pressure.

Governments in Europe, the United States and Asia have become far more willing to intervene in semiconductor ownership, investment structures and supply-chain arrangements, particularly where Chinese-linked companies are involved.

That creates growing uncertainty for multinational technology businesses because transactions and governance arrangements that were once viewed primarily as commercial matters can now become subject to political and security intervention.

Companies operating across multiple countries are facing increasing pressure as government restrictions introduced in one market can create legal exposure in another, particularly as China expands the use of anti-sanctions laws in response to foreign intervention measures.

Nexperia said it had repeatedly invited Wingtech to engage in discussions and said the Dutch proceedings were launched to address what it described as serious mismanagement issues.

The company said it was not attempting to damage Wingtech shareholders or business partners and argued that the latest Chinese litigation did not reflect a constructive attempt to resolve the dispute.