Democrats Open Probe Into Nvidia’s China Chip Sales

On November 12, House Ways and Means Committee Democrat Richard Neal and Senate Finance Committee Democrat Ron Wyden asked Commerce Secretary Howard Lutnick to preserve records related to Nvidia’s sales of advanced chips to China. The lawmakers say the administration’s arrangement with Nvidia raises legal questions, but as members of the minority party they cannot compel answers through their inquiry.

Their letter describes a deal under which President Donald Trump allowed sales of Nvidia H200 chips to China, with the chips first sent to the United States. It says Trump then imposed a tariff before the Commerce Department issued an export license. Nvidia and AMD had previously agreed to give the U.S. government 15% of revenue from certain China chip sales as part of securing licenses.

Neal and Wyden also questioned why the department continued approving purchases by Megaspeed after U.S. intelligence reportedly raised concerns about the company and its executive Alice Huang, who is accused of having ties to Chinese intelligence. The letter asks whether Nvidia’s donations to Trump projects, including $26 million, influenced the decisions. It does not establish that they did.

The inquiry follows Jensen Huang’s resignation as Nvidia’s CEO, president and board member. The company named CFO Colette Kress interim CEO and began seeking a permanent replacement. Huang agreed to testify in a closed-door session requested by Republican-led House committees examining China, foreign affairs and intelligence.

Democrats say his departure does not end questions about national security or the administration’s actions. The company’s board has opened an independent investigation and said it has no reason to believe national security or Nvidia’s secrets were compromised. China has rejected the espionage allegations; no public evidence establishes that Huang knowingly served Chinese interests or changed his policy views because of Alice Huang.

Nvidia Probe Puts Trump’s China Chip Deal Under Scrutiny

Democrats are pressing for answers about how the Trump administration handled Nvidia’s advanced chip sales to China, arguing that CEO Jensen Huang’s resignation cannot close the matter. On November 12, Richard Neal and Ron Wyden asked Commerce Secretary Howard Lutnick to preserve records and explain the department’s decisions.

Their letter questions a process in which H200 chips were routed through the United States before being licensed for sale to China, with a tariff imposed along the way. Nvidia and AMD had agreed to share 15% of revenue from some China sales with the government to obtain export licenses. The lawmakers say the arrangement raises legal concerns.

They also want to know why Megaspeed remained eligible to buy chips despite reported intelligence concerns about its executive Alice Huang, and whether Nvidia’s $26 million in donations to Trump projects played a role. The letter raises those issues as questions; it does not prove the donations affected policy.

Huang resigned as CEO, president and a board member, but Democrats including Chuck Schumer and Elizabeth Warren say accountability must extend to the company and the administration. Huang has agreed to testify to Republican-led House committees. Nvidia’s board is conducting an independent review and says it has no reason to believe national security or company secrets were compromised.

Democrats Turn Nvidia Resignation Into Broad China Deal Probe

Democrats are using Jensen Huang’s resignation to widen scrutiny of the Trump administration’s chip-export policy, opening an inquiry into Nvidia’s sales to China on November 12. Richard Neal and Ron Wyden asked Commerce Secretary Howard Lutnick to preserve records, though their minority status means they cannot compel responses.

The lawmakers challenge a publicly disclosed arrangement that allowed some Nvidia and AMD sales to China in exchange for the companies sharing 15% of revenue with the U.S. government. Their letter questions the tariff and licensing process, and asks why Megaspeed could continue buying chips after reported intelligence concerns about its executive Alice Huang.

The letter also raises Nvidia’s donations to Trump projects, including $26 million, as a question for investigators. It does not establish that those donations drove export policy. Huang has long argued that U.S. chipmakers should compete in China rather than cede the market to Chinese rivals.

Huang resigned as Nvidia’s CEO, president and board member and agreed to testify to Republican-led committees. The company named CFO Colette Kress interim CEO. Nvidia’s board says it has no reason to believe national security or company secrets were compromised, and no public evidence establishes that Huang knowingly acted for Chinese interests. The inquiry’s unanswered questions concern both the administration’s decisions and the lawmakers’ allegations about influence.