Nexperia China Condemns Dutch Firm’s ‘Fabricated’ Claims and ‘Irresponsible’ Supply Suspension
Nexperia’s Chinese division has denounced the allegations made by its Dutch headquarters, which claimed a breach of contractual payment terms. They assert that these accusations are baseless, labeling the actions of Nexperia Netherlands as “malicious defamation.”
Nexperia China Responds to Supply Suspension
In a statement released on October 29, Nexperia China condemned the unilateral suspension of wafer supplies by its Dutch counterpart, emphasizing that it undermines customer trust and disregards contractual obligations.
Key Developments
- Nexperia Netherlands cited a “failure to comply with agreed contractual payment terms” as the reason for the suspension.
- The company claims that the suspension, initiated on October 26, disrupts global supply chains and customer relations.
- Nexperia China maintains that it has sufficient inventory to fulfill customer orders well beyond year-end.
Response from Nexperia China
Nexperia China’s statement highlights that these claims are entirely false. The company is implementing multiple contingency plans to ensure a steady supply, and is working on qualifying new wafer sources. They committed to maintaining product quality and fulfilling customer promises despite the turmoil caused by their Dutch headquarters.
This situation has garnered attention in the tech community, with analyst Ma Jihua commenting on the deeper implications of Nexperia’s actions. He stated that the Dutch firm’s behavior reflects a misguided sense of superiority, which could hinder long-term collaborations.
Impact on Global Supply Chains
China’s Ministry of Commerce (MOFCOM) responded to the incident, condemning the Dutch government’s interference in corporate affairs. They indicated that such actions are risky for globalization and bilateral trade.
- MOFCOM expressed a willingness to assist companies facing difficulties amidst the crisis.
- Experts have criticized the arbitrary administrative interventions as potentially damaging to the stability of global supply chains.
Financial Context
Nexperia China’s statement revealed that its Dutch counterpart currently owes over 1 billion yuan ($140 million) to ATGD. They argue that while Nexperia Netherlands may have suspended supplies, they remain committed to ethical practices and corporate governance.
This situation between Nexperia Netherlands and Nexperia China has raised significant concerns within the industry. The future ramifications of this corporate dispute could reshape operational dynamics and influence the semiconductor market’s landscape.
