Bessent Gives Nvidia Board 10 Days to Address Export-Control Concerns

Treasury Secretary Scott Bessent gave Nvidia’s board 10 days on Sunday to explain potential export-control failures, putting the chipmaker’s handling of alleged China-bound chip diversions under direct federal scrutiny.

Bessent sought answers on whether advanced Nvidia AI chips reached China through Megaspeed, a Singapore-based company. The concern is possible diversion through an intermediary in a third country, rather than a direct Nvidia sale to China. Bessent said potential breaches could undermine national security.

His request calls for immediate clarification from Nvidia’s directors about compliance with U.S. export controls. Bessent also criticized the Commerce Department, led by Secretary Howard Lutnick, for not acting on earlier recommendations to add Megaspeed to the U.S. Entity List.

The concern is whether Nvidia can verify where its products end up after sale. The chips are used to train large AI models, making their destination strategically significant. The board’s response is due within 10 days of Bessent’s Nov. 15 demand.