Bessent blames Lutnick as Nvidia chip export scandal sparks Washington blame game
US Treasury Secretary Scott Bessent blamed the Commerce Department for failing to ban Nvidia chip exports to Megaspeed, a Singapore firm linked to an alleged Chinese spy, escalating a Washington blame game. The criticism threatens to stoke tensions within the Trump administration over the export oversight failure. Bessent told CNBC that Treasury favored blacklisting Megaspeed for months, but "commerce has the pen" on the decision. The scandal follows Nvidia CEO Jensen Huang's resignation after admitting an affair with a Megaspeed executive, with US authorities investigating potential chip smuggling into China. Republican and Democratic lawmakers are pressuring Commerce Secretary Howard Lutnick to testify and preserve documents. Bessent expressed frustration over chip leakage, saying it hurts US companies and aids China, while Lutnick dismissed rumors of his departure as "silly."