Treasury Secretary Scott Bessent says Commerce Department moved too slowly on Nvidia-linked chip diversion case

Treasury Secretary Scott Bessent said the Commerce Department bears responsibility for what he described as delays in the Trump administration’s response to a Nvidia-related dispute involving sensitive AI chip sales, according to reporting on his comments Wednesday. Bessent’s remarks, as described by multiple outlets, directed blame at the Department of Commerce rather than at the Treasury Department, and included reference to Howard Lutnick in connection with an effort to impose restrictions on a company at the center of the allegations.

The issue involves accusations that a Nvidia customer illegally diverted advanced AI chips intended for authorized destinations to China, a claim that has raised national-security concerns for U.S. export controls. Bessent’s comments, as characterized in coverage, framed the controversy as an enforcement and timing problem within the government, with Commerce moving later than Treasury officials wanted.

Reporting from The Hill said Bessent characterized Treasury as having pushed to blacklist Megaspeed, while saying “Commerce has the pen,” using language indicating that Commerce controlled the key regulatory steps. That framing suggests the authority to implement export-control and licensing restrictions, and to pursue enforcement outcomes tied to Commerce’s export regime, rested primarily with the Commerce Department.

The dispute also drew attention to Howard Lutnick, a senior figure in the administration, as outlets reported Bessent’s remarks included pointing to Lutnick and Commerce over how quickly action was taken. Zero Hedge similarly described Bessent as blaming Commerce while referencing a reported agreement tied to testimony as part of the broader controversy.