The US commerce secretary, Howard Lutnick, is facing growing pressure over his apparent lack of action over the Nvidia spying scandal as other Trump administration officials publicly raise questions over his decisions.
Scott Bessent, the US treasury secretary, blamed Lutnick’s commerce department for the fact the US had not imposed export restrictions on certain Nvidia chips to China.
Jensen Huang resigned from Nvidia on Thursday, and was replaced on an interim basis by the company’s chief financial officer, Colette Kress, after reports emerged of his multiple affairs, most importantly with Alice Huang (no relation), who is suspected of being a Chinese spy.
White House officials are discussing whether Lutnick should be fired, the Associated Press reported, after it emerged that a US intelligence report about Huang’s relationship with the alleged spy was circulated among senior figures in the Trump administration.
Lutnick is now scheduled to testify before Congress next month, just days after the ousted Nvidia chief answers lawmakers’ questions on Capitol Hill.
Lutnick is also facing criticism for a delay by the commerce department in adding Singapore-based Megaspeed, which is associated with Alice Huang and has bought billions of dollars of Nvidia chips in recent years, to Washington’s blacklist of companies that the US considers a risk to national security despite reported concerns within the administration.
Bessent has “for months” been in favor of putting Megaspeed on the blacklist – but Lutnick’s commerce department “has the pen”, Bessent told CNBC. “You will have to ask them about their internal process,” he added in an interview with the network on Friday.
John Curtis, a Utah Republican senator, said that Lutnick’s reported delay on export controls regarding Megaspeed “raises the question of whether the commerce department is acting in the best interests of the American people”.
The Republican senator John Cornyn told the Financial Times that there needed to be “a thorough investigation and accountability for the outrageous circumvention of national security export controls”, adding: “Heads should roll.”
The Senate Democratic leader, Chuck Schumer, said Jensen Huang and Nvidia must answer as to whether US security had been jeopardised, adding that the Trump administration also must account for what it did once it learned about his reported relationship with Alice Huang.
“Secretary Lutnick has proactively agreed to appear voluntarily before the banking committee to address their questions,” Kristen Eichamer, a spokesperson for Lutnick, told NBC News.
Trump’s close ties with Jensen Huang have also come under renewed scrutiny as a timeline of the saga started to emerge. The president called him two days before he stepped down and urged him to fight for his job, the New York Times has reported.
On Thursday, Schumer questioned what Trump knew when he personally invited Jensen Huang aboard Air Force One on a state visit to Beijing earlier this year, adding: “Americans deserve to know that those at the highest levels of power are putting America first, not their bottom line or their personal friendships.”
The House Democratic leader, Hakeem Jeffries, said he had demanded a classified briefing for all members of Congress about Nvidia.
Republican Tim Scott, the Senate banking committee chair, said he had sent letters asking Lutnick and Jensen Huang to appear before him, citing “recent reports [that] raise serious concerns about our national security and the protection of sensitive US technology”.
The statement from Nvidia’s board of directors confirming Huang’s departure did not mention the spying scandal and personal-conduct revelations, instead paying tribute to his “profound” contributions to the company he cofounded.
Huang is reported to have had relationships with Alice Huang as well as an Nvidia executive, Kimberly Powell, according to the New York Times, and another, unnamed employee, according to Reuters.
The House foreign affairs chair, Brian Mast, a Republican, said on Thursday that congressional staff had spoken to Nvidia on Wednesday night about a date and location for Huang’s testimony.
The House speaker, Mike Johnson, said on Thursday there was now growing consensus in Congress on limiting chip exports to China.
Nvidia’s advanced AI chips are widely used to develop cutting-edge AI models, making the company important to the US race against China to build superior AI systems. The US has sought for years to limit China’s access to Nvidia’s chips because it does not want the Chinese military to benefit from them.
“The export controls on chips to China has been a big issue around here,” Johnson told reporters at the US Capitol, adding that he favoured limiting China’s access to the advanced technology. “I think there’s a developing consensus in Congress that is an important position to take.“
Chinese AI companies are now trying to secure Nvidia chip capacity outside China, amid growing concern that the gap in US export controls may now be closed after the scandal, people familiar with the matter told Reuters.
Beijing has also stepped up efforts to develop domestic alternatives, including through Huawei, although analysts say Chinese chips remain less efficient for training advanced AI models.
Lawmakers are pressing their colleagues to pass at least four bills on chip exports, according to statements issued since Monday.
On Chinese social media, many expressed surprise at what they see as Huang’s swift resignation, and mourned the sudden end of an era that lasted for more than three decades.
News of his resignation attracted more than 400m posts overnight on the Chinese microblogging platform Weibo.
Huang had enjoyed rock-star status in China, where his visits drew crowds seeking selfies and autographs and his casual outings became social-media sensations. During a January 2026 visit, opportunistic sellers advertised photographs with him for 25,000 yuan ($3,700), while a Beijing restaurant launched a special menu costing more than 400 yuan after he ate there.
Additional reporting by Yu-chen Li
