Nexperia China resumes domestic sales, insists on yuan settlement

Nexperia’s China-based unit has restarted domestic chip deliveries after a weeks-long freeze triggered by Beijing’s export ￰0￱ every single sale must now be settled in Chinese yuan, not in ￰1￱ or any other foreign currency, according to Reuters, citing two people familiar with the ￰2￱ change comes after Beijing banned all chip exports on October 4, following the Dutch government’s takeover of Nexperia on September ￰3￱ Dutch moved to remove Zhang Xuezheng, the company’s Chinese CEO, and took direct control of operations, citing concerns that Wingtech Technology, Nexperia’s parent in China, could siphon sensitive ￰4￱ Dutch government claims the trigger was corporate governance issues, but ￰5￱ played a huge role, seeing as Wingtech had already landed on a restricted export list in ￰6￱ factory halts exports, resumes domestic trade in yuan Nexperia’s Chinese unit, which halted all shipments after the October 4 order, has now resumed supplying chips only inside China, but under strict new ￰7￱ are being told they must settle all purchases in yuan, and are not allowed to use U.

S. dollars, according to sources who spoke on condition of ￰8￱ more, distributors have been instructed to only use yuan in downstream sales to their own ￰9￱ of the people said the move is aimed at keeping supply inside China stable while breaking away from the Dutch parent’s ￰10￱ , which still produces its chips in the Netherlands, relies on China to package a large portion of them before ￰11￱ that packaging partnership may soon ￰12￱ is now looking for other packaging firms outside China, after tensions with its own Chinese arm ￰13￱ the company says this plan had been in place before the dispute, people briefed on internal strategy say the search for new partners has picked up ￰14￱ the same time, Nexperia has warned Chinese customers that it doesn’t guarantee the quality of products sourced from its China ￰15￱ to the second person familiar with the matter, that warning was sent out quietly.

A Nexperia spokesperson didn’t deny this, only stating that the company “had to inform customers of potential risks,” but stopped short of telling them to avoid buying from the Chinese unit ￰16￱ backlash intensifies rift with Dutch parent The Chinese unit is clearly ￰17￱ didn’t respond directly to Reuters but later posted a public message on WeChat claiming it is “operating independently” and that manufacturing and business activities remain ￰18￱ also accused the Dutch parent of spreading “groundless doubt” about product compliance and said it would be pursuing legal ￰19￱ suspension of exports has already shaken ￰20￱ Japan Automobile Manufacturers Association said its members were told by a Dutch chipmaker that it can’t guarantee steady deliveries, a major red flag for Japanese auto part ￰21￱ could spill into production timelines globally, especially since Nexperia makes high-volume, basic chips used in nearly every vehicle.

Meanwhile, the German economy ministry said it’s setting up urgent calls with automakers and suppliers to address fallout from the Nexperia ￰22￱ Dutch economy minister has also spoken with his Chinese counterpart but admitted no resolution was ￰23￱ up to Bybit and start trading with $30,050 in welcome gifts