Nvidia's Huang steps down, but Congress still wants answers

President Donald Trump continues to express confidence in Howard Lutnick as Commerce Secretary amidst scrutiny over his handling of chip smuggling concerns and Nvidia chip exports to China. The White House maintains full trust in Lutnick's ability to fulfill the position, which has been described as the most transformative in modern history.

The controversy stems from the Commerce Department's failure to take action against Megaspeed, a Singapore-based firm linked to Nvidia's scandal, resulting in Nvidia CEO Jensen Huang's resignation. Huang was involved in an extramarital affair with Alice Huang, a Megaspeed executive suspected of being a Chinese agent. Despite the resignation, Congress is demanding answers regarding potential security risks posed by Nvidia's actions.

Democratic Senator Elizabeth Warren and Republican Senator John Kennedy have called on Lutnick to explain why export control loopholes have not been closed and why advanced technology was not halted from aiding China's military. Meanwhile, the Senate intelligence committee's chair, Tom Cotton, is urging Lutnick to restrict China's memory chip maker CXMT on the US market and prevent it from gaining a stronger foothold in the global market.

Congress is exploring legislation, such as the AI Overwatch Act, the Match Act, and the Chip Security Act, to curb China's access to advanced American technology. Senate Minority Leader Chuck Schumer has called for a bipartisan effort to pass these measures to protect US national security. Despite Huang's resignation, Huang is set to testify before Congress this month, and House Foreign Affairs Committee Chairman Brian Mast has hinted at the possibility of a public hearing.