Q: Recent media reports indicate that Nexperia’s Dongguan plant has a relatively low wafer inventory, which is beginning to cause chip shortages for both Chinese and foreign automakers, including those operating in China. What is your comment on this? Additionally, last week, Wingtech held consultations with Nexperia (Netherlands). How are these consultations progressing?

A: I have taken note of the media reports you mentioned. Acting responsibly toward the global semiconductor industrial and supply chains, the Chinese government has already taken concrete measures to grant exemptions for compliant chip exports for civilian use, creating the necessary conditions for maintaining a stable and smooth semiconductor supply chain, while urging the companies involved to resolve their internal disputes through consultation as soon as possible.

It is learned that representatives of Wingtech and Nexperia (Netherlands) held their first round of consultations last week. They explained and clarified their respective concerns and agreed to maintain communication. China calls on the relevant companies to consult on issues of control rights and the restoration of the supply chain, and to take concrete steps to restore the global semiconductor industrial and supply chains.

Let me reiterate: the root cause of the Nexperia issue lies in the Dutch government’s improper administrative intervention in corporate operations. As an old Chinese saying goes, “He who tied the bell should be the one who unties it.” To completely dispel concerns over chip shortages among relevant global companies, the Dutch government should immediately revoke its administrative order, facilitate the withdrawal of the lawsuit filed by the former executives of Nexperia (Netherlands) in the Enterprise Chamber of the Amsterdam Court of Appeal, create favorable conditions for corporate consultations, swiftly restore chip supply to both Chinese and foreign automakers, including those operating in China, and fulfill its due responsibilities in restoring the security and stability of the global semiconductor industrial and supply chains.