China’s Wingtech Technology has filed a lawsuit against Dutch chipmaker Nexperia and three of its executives under China’s anti-foreign sanctions law, as the Chinese company remains embroiled in a power struggle for control of its Dutch subsidiary.

In an investor statement on Friday, the Shenzhen-based company said it has sued in a Guangdong court, demanding the restoration of full control over Nexperia and 8 billion yuan (US$1.17 billion) in compensation.

In September 2025 the Dutch government issued an order to take control of Nexperia away from Wingtech. While the order was later suspended, Wingtech’s control over Nexperia remained “‘restricted” as a parallel Dutch court ruling remained in force, according to the statement.

The measures, carried out by Nexperia and its executives, constitute “discriminatory restrictive measures” under China’s Anti-Foreign Sanctions Law, Wingtech argued.

Wingtech’s shares on the Shanghai Stock Exchange have been under a delisting risk warning since May 6, after its auditor issued a “disclaimer of opinion” due to audit scope limitations, citing inability to verify the financial records of Nexperia’s overseas operations.