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Wingtech doubles down on chip sector amid economic headwinds

By YUAN SHENGGAO | China Daily | Updated: 2026-05-15 00:00
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Production line workers inspect equipment at the workshop of Nexperia, which is owned by Wingtech Technology. CHINA DAILY

Amid global semiconductor industry shifts, China's Wingtech Technology has reaffirmed its commitment to refocus on its core chip business, strengthening its top-tier position and connections with global clients, especially its partners in the United States.

"Based on a profound understanding of the global geopolitical environment and a prudent analysis of the company's long-term development, we have made the strategic decision to fully focus on the semiconductor business," said Yang Mu, chairwoman of Wingtech.

"We are channeling all core resources into this high-value-added sector to enhance our competitiveness and provide stronger, more reliable innovation and supply assurance for our global clients, including those in the US," Yang said.

At the end of 2024, Wingtech announced a strategic transformation. It decided to divest its cyclically sensitive product integration business and fully commit to a semiconductor-centered model. Yang said the move will unlock significant momentum by concentrating management and research and development on semiconductors, laying a foundation for long-term growth while optimizing the financial structure for expansion.

As a leading global integrated device manufacturer, or IDM, Wingtech's Nexperia holds a strong position in automotive-grade power semiconductors. More than 90 percent of its products meet stringent automotive-grade standards, with stable partnerships among top global automotive suppliers. The strategic focus aims to strengthen its market position and customer service capabilities, making it a more reliable long-term partner for global clients.

However, the company said its global operations are facing geopolitical challenges. In December 2024, Wingtech was added to the US Department of Commerce's Entity List. Additionally, in September 2025, the Affiliates Rule issued by the US Department of Commerce's Bureau of Industry and Security extended export controls to its core Nexperia semiconductor business.

"We do not agree with and deeply regret the decision made by relevant parties based on an inaccurate perception and serious misunderstandings of our company's business.

"Wingtech Technology is an active participant in and contributor to the global industry chain, always adhering to the laws and regulations of all countries and upholding openness and cooperation. We firmly believe that commercial issues should be resolved through commercial principles, and any attempts to politicize technological cooperation will ultimately undermine the stability and efficiency of the global industry chain," Yang said.

Currently, Nexperia serves more than 25,000 customers worldwide, and its products are integrated into fields such as new energy vehicle powertrains, industrial automation equipment and high-end consumer electronics.

Yang said: "Customer interests have always been our highest priority. We are fully committed to delivering on our promises across multiple levels."

"External disruptions will never shake our unwavering commitment to product quality, nor will they alter our determination to fulfill every promise to our customers. Nexperia China has always maintained transparent and timely communication with global clients, and we deeply value and rely on their continued trust and support," Yang added.

She emphasized that regardless of changes in the external environment, Wingtech's original mission of serving global customers, its investment in technological innovation and its responsibility to ensure the stability of the global supply chain will remain unchanged. Wingtech also looks forward to continuing to work hand in hand with industry partners worldwide, including its US counterparts.

Positioning itself as a reliable and resilient core power semiconductor supplier and as a stable partner, Wingtech leverages the IDM model across the full industry chain. Its products are embedded in the core supply chains for automotive electrification and industrial automation, serving as both a driver of industrial technological advancement and a stable source of delivery amid global supply chain fluctuations.

"We stand firmly by the principle of win-win cooperation with global partners," Yang said. "Wingtech will deepen its global presence with localized services, strictly follow international rules and fully leverage our IDM advantages in technology, production capacity and service. We look forward to working even more closely with global partners to build a semiconductor ecosystem that is more resilient, stable and prosperous."

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