China on Monday acknowledged that Wingtech Technology and Dutch semiconductor firm Nexperia B.V. have begun preliminary discussions, marking the first formal engagement between the two companies since tensions emerged over ownership and supply chain disruptions. According to a statement from China’s Ministry of Commerce, the initial round of talks took place last week, with both sides agreeing to keep communication channels open.

The ministry said it encourages the companies to pursue negotiations focused on resolving issues related to ownership arrangements and the resumption of disrupted supply chains. It emphasized that restoring stable production and delivery of semiconductor components is in the shared interest of all parties involved, particularly given the sector’s importance to the global automotive industry.

Highlighting what it described as a gesture of goodwill, the ministry noted that China had previously granted exemptions for eligible chip exports. These measures, it said, were intended to reduce immediate pressure on supply chains and to create a more favorable atmosphere for dialogue between the companies.

At the same time, the ministry reiterated its position that the Dutch government should withdraw its administrative order affecting Nexperia. Such a move, it argued, would help foster more constructive conditions for negotiations and facilitate the restoration of chip supplies not only to Chinese automakers but also to international manufacturers operating in China.

China’s statement underscores its broader concern over the impact of regulatory actions on global semiconductor supply chains and signals Beijing’s preference for resolving disputes through commercial negotiations rather than prolonged administrative or political intervention.