Treasury chief Bessent brushes off Nvidia spy scandal – but presses for answers on chip exports to China

San Francisco, California - Treasury Secretary Scott Bessent called on Nvidia Sunday to explain whether it knowingly allowed its most advanced AI chips to reach China, saying this was more important than ex-CEO Jensen Huang's affair with an alleged spy for Beijing.

Treasury Secretary Scott Bessent looks on during an event in the Oval Office of the White House on October 7 in Washington DC. Bessent said he wanted answers about whether Nvidia knowingly allowed its most advanced AI chips to reach China.
Treasury Secretary Scott Bessent looks on during an event in the Oval Office of the White House on October 7 in Washington DC. Bessent said he wanted answers about whether Nvidia knowingly allowed its most advanced AI chips to reach China.  © Anna Moneymaker / GETTY IMAGES NORTH AMERICA / Getty Images via AFP

Speaking on Fox News Sunday Morning Futures three days after Huang resigned, Bessent said he wants to know if Nvidia used shell companies to dodge US restrictions and sell its most powerful chips to China.

The US forbids sales to China of the most cutting-edge AI chips, hoping to stay ahead of the Chinese in the race to dominate artificial intelligence.

In late 2025, President Donald Trump did authorize sales of Nvidia chips called H200s to the Chinese – but not the most advanced chips used to run AI models reshaping modern society.

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"Nothing above the H200s can be sold to the Chinese," Bessent said.

"What's more important here," he said, "is to examine whether Nvidia had a culture of compliance around the US export restrictions."

He alluded to companies linked to Megaspeed, the Singapore-based data center company that Huang's alleged lover Alice Huang once worked for.

"And who knew? Because I mean, these shell companies were obvious. They were being investigated. And did Nvidia use them as a workaround to sell chips to the Chinese?"

Of Alice Huang, he said: "It doesn't matter to me whether she's a spy or not. You know, Jensen's foibles are his foibles."

Bessent seeks answers from internal Nvidia probe

Bessent said he wanted answers from Nvidia and its internal investigation of Jensen Huang's behavior within the next 10 days.

Megaspeed is suspected by the US of helping Chinese firms get around US export controls by buying Nvidia chips for its data centers in Southeast Asia and routing them to China.

The Justice Department is carrying out a criminal probe. Nvidia late last month said it had investigated these allegations last year and refuted them.

Cover photo: Anna Moneymaker / GETTY IMAGES NORTH AMERICA / Getty Images via AFP

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