Bessent faults Commerce for slow action on Nvidia chip exports
The Treasury Secretary says three other agencies agreed to restrict Megaspeed, but Commerce held the decision alone.
By Martin Reynolds ·
Treasury Secretary Scott Bessent expressed frustration on Friday with the Commerce Department's handling of export controls for Nvidia chips bound for China.
Bessent told CNBC that his department, the State Department, the Department of Defense, and the U.S. Trade Representative all supported adding the Singapore-based firm Megaspeed International to the export control list for months. He noted that Commerce had sole authority over the matter.
The Secretary said he was frustrated because President Trump had made it clear that China should not receive Nvidia chips more advanced than the H100 model. Bessent stated that Commerce holds the pen and that its internal processes must be questioned.
These remarks arrive as Nvidia's relationship with Megaspeed influences the resignation of CEO Jensen Huang. Huang stepped down Thursday after reports that he had an affair with former Megaspeed executive Alice Huang, whom U.S. intelligence suspects is a Chinese spy.
Megaspeed had faced accusations last year of illicitly shipping advanced Nvidia chips to China, though the company said in December that there was no evidence of such exports. On Thursday, the firm reiterated that it takes its obligation to comply with American export control laws extremely seriously.
Messages seeking comment were sent to the Commerce Department regarding the delay in implementation.
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