Senior White House officials are discussing whether Commerce Secretary Howard Lutnick should be removed from office amid growing controversy surrounding Nvidia and its former CEO Jensen Huang, according to two people familiar with the matter cited by Reuters.
The discussions come as lawmakers from both parties intensify scrutiny of Lutnick’s handling of export controls and the administration’s decision not to add dozens of Chinese companies to a major US trade blacklist.
Although criticism of Lutnick predates Huang’s reported resignation, concerns over advanced artificial intelligence chip exports to China have intensified as the Nvidia controversy develops.
The White House and Commerce Department did not immediately respond to Reuters’ requests for comment. Earlier Thursday, a White House official said President Donald Trump “maintains complete confidence in the secretary and his ability to carry out the position.”
Lawmakers Demand Answers Over China Blacklist
Reuters reported in June that the Trump administration had delayed adding Chinese AI startup DeepSeek, memory chipmaker CXMT and more than 100 other companies identified as potential national security risks to a US trade blacklist.
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The United States has not published additions to the list since October 2025, marking its longest gap between updates in more than a decade.
Republican Senator John Kennedy said he had not yet decided whether Lutnick should lose his job, but stressed the seriousness of the controversy. He also called for Lutnick to respond publicly to questions and noted that the secretary would be summoned before Congress.
Democratic Senator Elizabeth Warren demanded explanations from Lutnick and Commerce Department Under Secretary Jeffrey Kessler over alleged export-control loopholes.
Warren, who is expected to chair the Senate Banking Committee in January, and incoming Senate Foreign Relations Committee Chair Chris Coons also urged the administration to preserve documents concerning Nvidia exports to China and associated national security concerns.
Nvidia Chip Sales Under Congressional Scrutiny
The controversy has also raised questions about Nvidia’s international sales and reported connections involving Alice Huang, an executive at Singapore-based Megaspeed.
According to reports cited by lawmakers, Megaspeed purchased more than $4.8 billion in advanced Nvidia AI chips since June 2024.
Senator Ron Wyden and Representative Richard Neal, the leading Democrats on the Senate Finance Committee and House Ways and Means Committee, respectively, said they were investigating the administration’s approval of Nvidia chip sales to Chinese companies allegedly linked to the Chinese government, military and sanctioned entities.
They also questioned President Trump’s December 2025 decision allowing Nvidia to sell its advanced H200 AI chips to China in exchange for a share of export revenue, describing the arrangement as an “unconstitutional export tax.”
Calls for Investigation Intensify
Nvidia’s former CEO Jensen Huang had supported greater access to the Chinese market despite calls from lawmakers in both parties to restrict Beijing’s access to advanced technology.
Representative Brian Mast said Congress should investigate the Commerce Department’s role in approving chip exports, while expressing confidence in Lutnick.
Axios previously reported that Lutnick had delayed Trump’s efforts to crack down on companies suspected of diverting Nvidia chips to China.
Meanwhile, Republican Senator Tom Cotton urged Lutnick to block CXMT from the US market and restrict its access to American technologies.
The growing congressional scrutiny has placed Lutnick’s handling of export controls under renewed pressure as Washington confronts concerns over China’s access to advanced artificial intelligence technology.
