'Jensen Huang Scandal' Leaves U.S. Commerce Secretary Howard Lutnick Cornered as Ouster Calls Mount

[Financial News] The fallout from the “Jensen Huang scandal” appears to be spreading to Howard Lutnick, a key power broker in the Donald Trump administration and U.S. commerce secretary. His close ties to former NVIDIA CEO Jensen Huang, combined with allegations that he deliberately delayed export controls on China, have brought intense pressure on him to resign.
According to foreign media outlets including The New York Times (NYT) and The Washington Post (WP) on the 13th (local time), Lutnick is suspected of deliberately delaying the Commerce Department’s addition of Singapore-based Megaspeed International to its sanctions list. The company has been identified as a conduit for indirect exports of NVIDIA’s advanced semiconductors to China.
 Alice Huang, who was reportedly in an inappropriate relationship with former CEO Jensen Huang and is suspected of being a Chinese spy, previously served as an executive at Megaspeed International.

Those defending Lutnick argue that these measures were taken in line with President Trump’s approach to managing relations with China and his instructions to ease export controls. But evidence is emerging that Lutnick’s personal ties and interests were intertwined with those of former CEO Huang. Critics say there is ample potential for a conflict of interest because the investment firm Cantor Fitzgerald, which Lutnick led for decades before handing it over to his sons, is deeply involved in industries related to NVIDIA chips and businesses in Southeast Asia.
In particular, WP reported that Lutnick rejected President Trump’s orders to impose export controls on NVIDIA on three occasions, citing concerns about a trade war. CNBC also raised suspicions that nonpublic information may have been shared, pointing to Cantor Fitzgerald’s large-scale sale of NVIDIA shares around the time pressure mounted to crack down on Megaspeed.

Amid the controversy, divisions within the administration are also widening. Senior White House officials and aides are reportedly beginning discussions about Lutnick’s possible dismissal. Treasury Secretary Scott Bessent has particularly put pressure on Lutnick, publicly taking aim at him in a CNBC interview and saying the Commerce Department was responsible for Megaspeed escaping sanctions. As the clash between the two, who have long been at odds, comes into the open, Lutnick is increasingly isolated within the administration.
However, some observers say President Trump may not easily dismiss Lutnick, a longtime ally, given that Trump himself is deeply involved in the process of easing export controls on China. Politico said Trump’s longstanding relationship with Lutnick could help save him, but that growing pressure from Congress makes Lutnick’s future difficult to predict.
Lutnick is expected to face an intense congressional investigation, beginning with a request to appear on the 10th of next month from Republican Sen. Tim Scott, chairman of the Senate Banking Committee.
[email protected] Jeon Min-kyung Reporter