Democrats question Trump’s Nvidia chip deal with China

Rep. Richard Neal of Massachusetts and Sen. Ron Wyden of Oregon, the top Democrats on their respective committees, asked Commerce Secretary Howard Lutnick to preserve records concerning the arrangement. As members of the minority party, they can request information but cannot compel answers.

Their letter describes a deal under which President Donald Trump allowed sales of Nvidia’s H200 chips to China on the condition that the Taiwan-manufactured chips first be shipped to the United States. Trump then imposed a tariff, which the lawmakers said appeared to function as an unconstitutional export tax. The Commerce Department subsequently issued an export license. Nvidia and AMD had agreed in August 2025 to give the U.S. government 15% of revenue from chip sales to China in exchange for export licenses, the Associated Press reported at the time.

The lawmakers also asked why the department continued allowing Singapore-based Megaspeed to buy chips after U.S. intelligence reportedly raised suspicions about its executive, Alice Huang, and her alleged relationship with Nvidia CEO Jensen Huang. Megaspeed is suspected by U.S. officials of helping route advanced Nvidia chips to China. The letter also questions approval for other Asian buyers that reportedly had no physical presence at their listed addresses.

It asks whether Nvidia’s $26 million in donations to Trump projects, including a ballroom, figured into the export decision. The lawmakers say approval came after Trump learned of Jensen Huang’s “compromised position” and after the donations; they appear to be probing whether knowledge of the alleged affair was used to secure them.

The inquiry is separate from a Republican-led investigation involving three House committees, which demanded that Huang testify in a closed session and threatened a subpoena. He agreed Thursday to testify. The source also reported that Nvidia had ousted him that day, following his confession to an extramarital affair and reports of other alleged relationships.