Sen. Chris Coons (D-Del.) has demanded answers from the Commerce Department after conflicting statements by Secretary Howard Lutnick and Nvidia Corp. (NASDAQ:NVDA) CEO Jensen Huang raised fresh concerns about whether advanced U.S. AI chips are reaching China.
Senator Questions Commerce Department On H200 China Exports
In a letter first reported by CNBC on Friday, Coons pressed Lutnick over comments made during an April 22 Senate Appropriations subcommittee hearing.
During the hearing, the Commerce Secretary said the U.S. had not allowed Nvidia's H200 AI chips to be sold to Chinese firms.
"We have not sold them any chips as of yet," Lutnick told lawmakers.
That statement appeared to conflict with remarks Huang made in March, when the Nvidia CEO said the company had secured approvals from both U.S. and Chinese authorities to sell H200 chips into China.
"Your statements before the committee appear to contradict Huang's comments," Coons wrote in his Thursday letter.
Concerns Grow Over Advanced AI Chip Sales To China
Coons said he remains "deeply concerned" that permitting Chinese companies to purchase H200 chips could threaten U.S. national security and economic competitiveness, given the processors' role in powering advanced AI systems.
The senator requested that Lutnick provide detailed answers within one week, including how many export licenses have been approved, how many chips have already been shipped and whether additional licenses are under consideration.
Nvidia and the Commerce Department did not immediately respond to Benzinga's request for comments.
Trump-Xi Meeting Adds Diplomatic Weight To Nvidia Export Debate
The dispute comes ahead of President Donald Trump's expected trip to China for talks with President Xi Jinping, potentially elevating semiconductor exports as a major geopolitical issue.
The Trump administration previously required Nvidia to obtain export licenses for advanced chips sold to China, a market that once accounted for more than 20% of the company's data center revenue.
Price Action: Nvidia shares closed Friday at $198.45, down 0.56% and slipped another 0.17% in after-hours trading to $198.12, according to Benzinga Pro.
According to Benzinga Edge Rankings, Nvidia scores in the 97th percentile for Quality while sustaining a strong positive price trend across its short, medium and long-term price performance indicators.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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