Lutnick's resistance stalls trump's planned Nvidia chip restrictions for china
Commerce Secretary Howard Lutnick reportedly opposed directives from other Trump administration officials aimed at curbing the diversion of Nvidia AI chips to China. This resistance came after President Trump authorized a crackdown on suspected chip smuggling for the third time this year, following consultation with Elon Musk.
During a meeting in the Situation Room on Thursday, Lutnick was present alongside Treasury Secretary Scott Bessent, Defense Secretary Pete Hegseth, U.S. Trade Representative Jamieson Greer, and National Security Adviser and Secretary of State Marco Rubio. Sources indicated Lutnick's comments caused concern because officials had anticipated the Commerce Department would enforce export controls, but this had not materialized previously.
Despite Trump's decision to proceed, Lutnick subsequently proposed a new delay tactic after the Oval Office meeting. The Commerce Department spokesperson, Kristen Eichamer, denied that Bessent confronted Lutnick. This latest action follows previous approvals by Trump in May, August, and on November 5th regarding Nvidia chip diversions, and recalls a prior announcement last year to ease export controls on Nvidia H200 sales to China.