Commerce Secretary Lutnick Agrees to Testify on Nvidia China Chip Exports
Howard Lutnick agreed to appear before the Senate Banking Committee Dec. 10 as lawmakers probe Nvidia chip exports to China.
Commerce Secretary Howard Lutnick agreed to testify voluntarily before the Senate Banking Committee on Dec. 10, after Chairman Tim Scott requested his appearance, as lawmakers scrutinize the department's oversight of Nvidia's chip exports to China, NBC reported Thursday.
Lutnick and former Nvidia CEO Jensen Huang both received letters Thursday evening requesting testimony at separate hearings on Dec. 3 and Dec. 10. The letter to Lutnick asked him to address recent public reports about NVIDIA and the Department of Commerce's role that raises national security concerns, according to the report. Kristen Eichamer, a spokesperson for Lutnick, told NBC News on Thursday that Secretary Lutnick has proactively agreed to appear voluntarily before the Banking Committee to address their questions.
The letter to Huang said reports about his relationship with an alleged Chinese spy raise significant national security concerns. Huang acknowledged an affair with an executive at Megaspeed, a Singapore-based company that has bought more than $4.8 billion of advanced Nvidia AI chips over the past two years. The scandal, along with reports of a separate affair with a senior Nvidia executive, led to his resignation on Thursday.
Lawmakers are questioning whether the Commerce Department did enough to restrict the supply of AI chips to China and whether it oversaw Nvidia's exports thoroughly. Senator Jim Banks said on Fox News on Thursday that Lutnick appears to have used loopholes to allow some of these chip sales to occur. Senator Elizabeth Warren said Thursday that Lutnick and Under Secretary Jeffrey Kessler must explain why they have not closed export control loopholes and act to ensure advanced technology is not fueling China's military.
Warren and incoming Senate Foreign Relations Chair Chris Coons said in a joint letter published Wednesday that all documents relating to the export of Nvidia chips to China must be preserved. Senator Ron Wyden and Representative Richard E. Neal told Lutnick they were investigating the approval of sales of Nvidia chips to companies with links to the Chinese government, military and sanctioned entities.
Representative Brian Mast said Thursday that Congress needed to investigate the Commerce Department's role in approving the export of AI chips to China, but added that he had confidence in Lutnick.
The scrutiny comes as the Trump administration declined to include more than 100 companies highlighted as national security risks on a trade blacklist, including China's AI startup DeepSeek and memory chipmaker CXMT, Reuters reported in June. Lutnick is a long-standing friend of President Trump, with a relationship spanning more than three decades.
Nvidia (NVDA) shares were down 4.3% in delayed trading at $166.19. The hearings on Dec. 3 and Dec. 10 are the next dated events for investors tracking the fallout.