Lutnick faces backlash over Nvidia chip export controls

Commerce Secretary Howard Lutnick has clashed with senior Trump administration officials over export controls on Nvidia's advanced chips, facing accusations of being too lenient with the company amid concerns about China's AI progress. The dispute has intensified following revelations about Nvidia CEO Jensen Huang's relationship with a suspected Chinese spy and his subsequent resignation. Treasury Secretary Scott Bessent confronted Lutnick over the handling of Megaspeed, a Singapore firm suspected of smuggling Nvidia chips to China, demanding why sales had not been banned. Lutnick has repeatedly delayed or deferred technology controls, including rules targeting Chinese access to AI computing power in Southeast Asia, despite support from other officials and President Trump. Lutnick's department has halted new entity listings for over a year, and Nvidia's general counsel has been given direct access to shape draft regulations. The Commerce Department denies claims of undue influence, stating it aggressively pursues enforcement cases and works with other agencies on export controls.