Beijing and The Hague Agree to Continue Talks; Wingtech Shares Surge Again in Shanghai
Wingtech Technology’s stock rallied again on Monday in Shanghai, surging by as much as 6.4%, according to LSEG data. The move came after Beijing agreed to hold further talks with a Dutch delegation about the ongoing dispute surrounding Nexperia. This followed a late spike of 9.7% on Friday, triggered in the final minutes of trading when signs appeared that the standoff was beginning to cool.
Background: Dutch Seizure and Chinese Countermeasures
The dispute began on September 30, when the Dutch government seized control of Nexperia on national security grounds, citing concerns that the company could move technology and operations to China. Wingtech is Nexperia’s parent company. In response, Beijing blocked exports of certain components made at Nexperia’s Chinese facility—prompting worries among global automakers over potential chip shortages.
Partial Resumption of Chip Shipments
On Sunday, China’s Ministry of Commerce announced it had started allowing shipments of some chips produced at Nexperia’s China facility. The ministry also called on the European Union to pressure the Dutch government to lift its restrictions. In a statement reported by Cryptopolitan, Beijing urged all parties to work toward a resolution, reduce tension and keep supply chains stable.
Beijing to Host Dutch Delegation
China’s Commerce Ministry said it expects the Dutch side to come with “constructive solutions” and take “concrete actions” so that the dispute can be resolved soon. Dutch Economic Affairs Minister Vincent Karremans had earlier signaled progress, noting that chips made by Nexperia would start reaching customers in Europe and beyond within days. He credited the “constructive nature of our talks with the Chinese authorities” and linked the progress to cooperation between China, the United States and the European Commission.
Karremans also stated that both China and the U.S. had told the Netherlands that a recent trade agreement would allow the restart of shipments from Nexperia’s Chinese production lines. He said this aligned with information shared by the European Commission and China’s Commerce Ministry.
Automakers on Alert Amid Supply Concerns
The Nexperia dispute placed heavy stress on the global auto industry, which relies on the affected chips:
• Volkswagen warned its production could face disruptions.
• Honda cut its yearly profit outlook after halting output at some plants due to part shortages.
• Stellantis set up internal “war rooms” to monitor chip availability and to secure alternative suppliers.
Analysts say the spat reflects worsening political pressure between China and the U.S. Neo Wang, a strategist at Evercore ISI, called the Nexperia clash the “direct result” of rising tensions and new trade controls. In late September, the U.S. expanded its entity list—blocking trade with firms deemed national security risks—and captured Nexperia because of Wingtech’s ownership.
Temporary Truces and Lingering Risks
After Beijing and Washington reached a temporary trade truce on October 30, both sides eased some restrictions. Shortly thereafter, China announced it would allow Nexperia’s China unit to resume international shipments. Still, analysts caution that the situation remains fragile.
ASML Holding—maker of the world’s most advanced chipmaking machines—already finds itself in the crossfire of U.S.–China technology tensions. Washington has been urging the Dutch government to limit ASML’s exports to China, further complicating the broader dispute.
In a recent note, Barclays analysts led by Dan Levy reported that chip suppliers had begun receiving shipments—but warned that low inventories could still cause delays. They added that relief looked temporary, since the core conflict between Nexperia’s Dutch headquarters and its China-based operations has not been fully resolved.
https://bitcoinethereumnews.com/finance/wingtech-jumps-6-as-china-signals-easing-in-nexperia-export-dispute/
