Bessent blames Lutnick's Commerce Department for not restricting Nvidia chips to China

Treasury Secretary Scott Bessent expressed frustration on Friday with the Commerce Department's delay in implementing restrictions on the export of specific Nvidia chips to China. Speaking on CNBC, Bessent revealed that his department, alongside the State, Defense, and Trade Representative departments, had been advocating for the inclusion of Megaspeed on an export control list for several months.

However, he emphasized that ultimately, the Commerce Department holds the authority over the issue. Bessent recalled President Trump's clear stance that China should not receive Nvidia chips exceeding the H100 series. He further questioned the internal processes within the Commerce Department. Bessent's remarks constituted an unusually direct criticism of the Commerce Department, which is responsible for managing U.S. government controls over the export of sensitive, advanced technology goods.

This reaction occurs as Nvidia's association with Singapore-based Megaspeed International, prominently featured on Megaspeed's website, becomes a central factor in the resignation of Nvidia's CEO, Jensen Huang. Commerce Secretary Howard Lutnick has increasingly become a focal point in this context.