Wingtech shares plunge after Dutch government intervenes in chip unit

Published 13/10/2025, 10:38
© Reuters.

Investing.com -- Shares of Chinese tech company Wingtech Technology dropped 10% in Shanghai on Monday, hitting the daily limit, after the Dutch government issued an order intervening in its Netherlands-based semiconductor arm Nexperia.

The Dutch economic affairs ministry announced on Sunday that it had taken a "highly exceptional" measure against Nexperia, citing "serious governance shortcomings and actions" within the company that produces chips for European automotive and consumer electronics industries.

In its statement, the ministry explained that these issues "posed a threat to the continuity and safeguarding on Dutch and European soil of crucial technological knowledge and capabilities." The government further warned that "losing these capabilities could pose a risk to Dutch and European economic security."

According to Wingtech’s exchange filing over the weekend, the Dutch order restricts Nexperia, its subsidiaries, branches, offices, and 30 other entities worldwide from making adjustments to assets, intellectual-property rights, businesses, and personnel.

The intervention by the Dutch government represents a significant regulatory challenge for the Chinese tech company’s European operations in the semiconductor sector.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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