Bessent blames Lutnick for AI chip leaks to China

Treasury Secretary Scott Bessent publicly blamed Commerce Secretary Howard Lutnick for failing to stop advanced AI chip exports to China, linking the issue to the scandal surrounding former Nvidia CEO Jensen Huang. Bessent told CNBC on Friday that his department had long advocated sanctions against Singapore-based Megaspeed, central to the Huang scandal, but said the Commerce Department under Lutnick holds responsibility for the lack of restrictions. Huang was fired Thursday amid an affair with Alice Huang, who had ties to Megaspeed and is suspected of spying for China. According to Axios, Lutnick has repeatedly blocked actions against companies suspected of funneling Nvidia chips to China. Bessent expressed frustration, noting President Trump has made clear China should not receive Nvidia chips more advanced than the H100 model.