WORLDTECHLawmakers from both parties press Lutnick over Nvidia chip exports to China
Commerce Secretary Howard Lutnick is facing mounting criticism from lawmakers of both parties, who object to the administration's reluctance to add dozens of Chinese companies to a key US trade blacklist and ask whether the government properly supervised Nvidia's chip exports to China. The report comes from a single outlet, Crypto Briefing.
Chief executive exit and its fallout
Nvidia, a semiconductor company based in Santa Clara, announced on November 12, 2026, that Huang was stepping down with immediate effect after an internal investigation.
Reuters reports that the exit followed revelations of an affair involving Alice Huang, whom US authorities suspect of working for Beijing. She is a former executive at Megaspeed, a company now at the centre of the controversy.
Megaspeed's chip purchases under scrutiny
Megaspeed has bought more than $4.8 billion worth of Nvidia AI chips since June 2024 and is under investigation over alleged diversion of those chips to China. Its assets reportedly rose from $33 million in 2023 to $3 billion in 2024, growth that has fuelled concern among US officials about possible chip smuggling.
Why the blacklist decision is contested
The Entity List is the Commerce Department's trade blacklist, and a listing sharply restricts a company's ability to buy sensitive US technology. Critics say Megaspeed and numerous other Chinese firms should already be on it, and accuse Lutnick of resisting additions despite repeated warnings from officials.
Democratic Senator Elizabeth Warren and Republican Senator John Kennedy are among those leading the criticism. Lawmakers have called for investigations and want Lutnick to testify about how he has handled export controls.
Open questions
- Will Lutnick testify before lawmakers about how export controls have been handled?
- Will Megaspeed and other Chinese firms be added to the Entity List?
- What will the investigation into alleged diversion of Nvidia chips to China establish?