Update on company developments

Geopolitical Developments and Supply Chain Restoration

Nexperia is pleased by the one-year suspension by U.S. authorities of the so-called 'Affiliate Rule', which had extended US export control restrictions to entities owned 50% or more by entities on the US Entity List. The Affiliate Rule could have otherwise affected Nexperia, as a wholly owned subsidiary of Wingtech Technology Co., Ltd. ("Wingtech"), which was placed on the BIS entity list in December 2024.

We also welcome China’s commitment to facilitate the resumption of exports from Nexperia’s Chinese facility and that of our subcontractors, enabling the continued flow of critical legacy chips to global markets. We hope to soon see further details on conditions, criteria and procedures regarding this relaxation of export restrictions.

Operational Disruptions

Despite these positive steps, Nexperia’s entities in China have stopped operating within the established corporate governance framework and are ignoring the lawful instructions of Nexperia B.V.'s global management.

Therefore we cannot oversee if and when products from our facility in China will be delivered. Given the missing transparency and oversight over the manufacturing processes we cannot guarantee the intellectual property, technology, authenticity and quality standards for products delivered from the Nexperia facility in China as of October 13.

As a result, Nexperia B.V. announced on October 29, 2025, that it had to suspend further direct supply of wafers to the company’s facility in China, following Nexperia China’s refusal of payments for these wafers. This payment refusal is not an isolated incident, it also includes:

• Misappropriation of Nexperia China entities' corporate seals without legitimate cause or explanation;
• Establishing unauthorized bank accounts and directing customers to remit payments to these accounts;
• Sending unauthorized letters with false information to customers, subcontractors, third party suppliers and employees.

Supply Chain Resilience

Dedicated teams are working urgently to identify and implement viable paths forward, with the objective of facilitating product availability in a sustainable manner.

Note that Nexperia hasn’t stopped the shipping of wafers altogether. We are offering alternative supply chain solutions to mitigate disruption and maintain continuity of delivery as much as possible. All other Nexperia sites—including those in Europe and other parts of Asia—continue to operate as normal. All products produced by Nexperia outside of China are produced using authentic Nexperia wafers and approved materials, in accordance with Nexperia’s standard specifications, manufacturing processes and quality systems applicable to the relevant products and are manufactured using Nexperia’s intellectual property. These products are therefore fully authentic and compliant. These products have been delivered and will continue to be delivered to our customers.

Equally, we are confident that a de-escalation can be achieved soon, which is in the best interest of all parties involved. We remain fully committed to our operations in China and our dedicated Chinese employees who have been integral to Nexperia's success. Nexperia's presence in China, including its manufacturing activities in Dongguan, remains essential to its long-term strategy and success.

Clarification on CEO Status and Media Speculation

Nexperia is aware of rumors and media speculation regarding the alleged reinstatement of Zhang Xuezheng (Wing) as CEO. The company confirms that, as stipulated in the Enterprise Chamber ruling of 7 October 2025, Zhang Xuezheng has been suspended as a director. Accordingly, Zhang Xuezheng is no longer acting as CEO of Nexperia.

Furthermore, the Enterprise Chamber ruled that substantially all voting rights on the shares in Nexperia, indirectly held by Wingtech Technology Co. Ltd. ("Wingtech"), have been placed under management of an independent administrator appointed by the Enterprise Chamber.

Any claims to the contrary are incorrect.

Compliance with the Dutch Government Order

Nexperia continues to act in full compliance with the Dutch government order. The order is designed to safeguard Nexperia’s production capacity and expertise for Europe and does not impede regular production or day-to-day operations. However, it does require government approval for strategic decisions such as relocating company parts or dismissing executives and will remain in effect for a maximum duration of one year.

Further Updates

Further updates will be provided as circumstances evolve. Customers and partners are encouraged to contact Nexperia directly with any questions or concerns, and to verify any communications received.

For media inquiries, please contact: media@nexperia.com  

About Nexperia

Headquartered in the Netherlands, Nexperia is a global semiconductor company with a rich European history and over 12,500 employees across Europe, Asia, and the United States. As a leading expert in the development and production of essential semiconductors, Nexperia’s components enable the basic functionality of virtually every commercial electronic design in the world – from automotive and industrial to mobile and consumer applications.

The company serves a global customer base, shipping more than 110 billion products annually. These products are recognized as benchmarks in efficiency – in process, size, power, and performance. Nexperia's commitment to innovation, efficiency, sustainability, and stringent industry requirements is evident in its extensive IP portfolio, its expanding product range, and its certification to IATF 16949, ISO 9001, ISO 14001 and ISO 45001 standards.