Treasury Secretary Scott Bessent publicly blamed Commerce Secretary Howard Lutnick’s department for taking months to propose export restrictions on Nvidia customer Megaspeed.
Several other U.S. agencies supported adding the Singapore-based company to the Commerce Department’s Entity List, amid concerns that advanced chips could reach China. Speaking to CNBC on Friday, November 13, Bessent said Treasury, Defense, State and the U.S. Trade Representative’s office had backed adding Megaspeed to the Commerce Department’s Entity List for months. He said Commerce was responsible for handling the proposed action.
He directed questions about the delay to the department’s internal process. The Entity List can restrict companies’ access to U.S. goods and technology. This made Commerce the agency with authority to carry out the proposed action.
Bessent said he was frustrated because President Donald Trump had made clear that China should not receive Nvidia chips more advanced than the H100. His remarks were a rare public rebuke between cabinet officials. The administration faces scrutiny over controls meant to prevent restricted chips from reaching China.
Megaspeed has denied wrongdoing. It said it takes its export-control obligations seriously. Commerce did not immediately respond to requests for comment.
Lutnick has agreed to testify before the Senate Banking Committee. Lawmakers are examining the department’s handling of export controls.