Bessent Puts Megaspeed Blacklist Delay on Commerce: 'Commerce Has the Pen'

Nvidia stock fell 3.3% to $160.70 by 1:03 PM ET on November 13, 2026, hours after Treasury Secretary Scott Bessent publicly blamed the Commerce Department for months of delay in blacklisting Megaspeed, the Singapore firm at the center of Nvidia's China chip scandal.

Bessent made the remarks in a CNBC appearance. He said four agencies favored action long ago.

"Treasury, War, USTR and State were in favor of putting Megaspeed on the entity list for months," Bessent said. "But Commerce has the pen. And you will have to ask them about their internal processes."

AFP described the statement as "a rare public rebuke of one cabinet department by another."

The share-price drop does not hinge on Bessent alone. Jensen Huang has already resigned as Nvidia CEO after acknowledging an extramarital affair. The comments add pressure, but they do not explain the day's full decline by themselves.

What is on the record, and what remains allegation?

Bessent spoke only in a TV interview. His X account published nothing on Nvidia, Megaspeed or Commerce. No agency has acted since his remarks.

The entity list is a trade blacklist kept by the Commerce Department's Bureau of Industry and Security. Exports to listed parties require a license. Megaspeed has not been added.

The case against the firm remains an allegation. Per AFP, Megaspeed "is suspected of helping Chinese firms get around US export controls by buying Nvidia chips for its data centers in Southeast Asia and routing them to China."

The reported dollar figures vary by outlet:

• AFP says Megaspeed traded more than $4 billion in Nvidia chips over two years.
• Reuters, cited by Newsweek, puts its purchases of advanced Nvidia AI chips at more than $4.8 billion since June 2024.

Megaspeed says it "takes its compliance obligations under US export control laws extremely seriously" and has hired a U.S. law firm to review its compliance.

Bessent framed Nvidia's own role as the open question. "The real story here should be: Did Nvidia know their client and was there a robust effort at Nvidia to make sure that there was no leakage and that they were selling to what were obviously pass through shell companies?" he said. He added: "I am sure that the board, now having woken up to what's going on, is going to do a thorough investigation."

How much Nvidia revenue actually rides on China?

Very little. Nvidia guides to $108.0 billion in revenue for the third quarter of fiscal 2027, the quarter ending in October 2026, and that figure excludes any Data Center compute revenue from China. In the second quarter, China Hopper shipments came in below 1% of Data Center revenue.

Nvidia has not disclosed what share of its revenue Megaspeed accounts for. The real exposure is compliance and governance. If investigators find that Nvidia ignored warning signs, the risk lands on a company with a $3.885 trillion market value and an open CEO seat.

How has Washington responded?

The Senate Banking Committee has asked Huang to testify on December 3 and Lutnick to appear on December 10. Lutnick agreed. Commerce spokesperson Kristen Eichamer said he "has proactively agreed to appear voluntarily."

The committee said it is "prepared to use all tools at our disposal, including subpoenas" if either man does not appear.

Commerce disputes the conflict narrative. A department spokesperson denied that a separately reported confrontation between Bessent and Lutnick took place at a White House meeting. A White House official said Trump "maintains complete confidence in the secretary." Bessent declined to comment on reported tensions. His agency does not control the entity list.

Does the cabinet feud change the case for owning Nvidia?

It changes the risk profile more than the earnings. China revenue in Nvidia's own guidance is already near zero. What matters is what the board's investigation finds about sales to third-party buyers.

Three events will settle the question:

• A Federal Register notice adding Megaspeed to the entity list.
• Any 8-K filing disclosing the board's findings.
• Lutnick's scheduled appearance on December 10.

If Commerce adds Megaspeed before the hearing, the move follows Bessent's public pressure. If it has not acted by then, expect the dispute between the two departments to dominate the proceedings.