Google Analytics counts our visits, with cookies. No thanks turns it off and removes its cookies; in Europe, the UK, Switzerland and India, or wherever we cannot tell where you are, it stays off unless you accept. Cookie Notice

Advertise
PRICES
BTCETHSOLXRPBNBDOGEADAAVAXLINKTONDOTLTCTRXPOLUSDTUSDCSUIHBARSHIBBCHXLMNEARAPTARB

← Back to NewsDesk

AI summary of a third-party reportBearishNewsDesk

Democrats open inquiry into Nvidia's China chip sales and Trump deal

Two senior Democrats have asked the Commerce Department to keep records on how Nvidia's H200 chip sales to China were handled, questioning an arrangement they describe as an export tax.

Why it matters: The inquiry examines whether the administration's export licensing and tariff arrangement for Nvidia's China sales was lawful, a question that touches the chipmaker's access to a key market.

InvestIn.News NewsDesk · 1 min read
Share
Picture from Techcrunch for: Democrats open inquiry into Nvidia's China chip sales and Trump deal
Image: Techcrunch
Original reporting: Julie Bort, Techcrunch

Key points

  • Rep. Richard Neal and Sen. Ron Wyden sent the letter to Commerce Secretary Howard Lutnick asking for records to be preserved.
  • The letter questions why Megaspeed, a Singapore-based Nvidia customer, was allowed to keep buying chips after US intelligence raised suspicions.
  • Nvidia donated $26m to Trump projects, including the ballroom, after the export deal was approved, the letter notes.

As the minority party, they can ask questions but cannot compel answers.

The letter describes the arrangement as a scheme. President Trump agreed to allow sales of Nvidia's H200 chips to China provided the Taiwan-made chips were first shipped to the US, where a tariff took what the letter calls an effective cut of Nvidia's China sales through what appears to be an unconstitutional export tax system. The Commerce Department then issued an export licence. Nvidia and AMD had agreed in August 2025 to share 15% of revenue from China chip sales with the US government to secure licences.

The Democrats ask why Lutnick kept letting Megaspeed, a Singapore-based Nvidia customer, buy chips after US intelligence reportedly raised suspicions about Alice Huang, an executive there, and about Jensen Huang's relationship with her.

The inquiry follows Jensen Huang's removal as Nvidia chief executive on Thursday after he admitted an extramarital affair.

What to watch: Jensen Huang is due to testify in a closed-door session before Republican-led House committees after agreeing to appear.

Read the full story on Techcrunch

Live updates on NewsFeeds:AIFrom our AI Hub: Is ChatGPT, Claude or Gemini down?, AI API prices, new AI modelsDesk editor: Keshav Aggarwal (accountable for this page; this summary was not edited by hand)

How this was produced: an AI model wrote this summary of Techcrunch’s report, which we credit and link above. Read our Editorial and AI policy. Spotted a mistake? See Corrections.

Not investment advice. Read the risk disclaimer.

← Back to NewsDesk