Trump to skip Nvidia spy scandal in Shenzhen talks with Xi

Key points

• Senior U.S. officials confirmed Trump will not discuss the Alice Huang espionage allegations with Chinese President Xi Jinping during the Nov. 18-19 APEC summit in Shenzhen.
• The White House stated that U.S. export controls and national security investigations are not topics for bilateral negotiations with China during this trip.
• Elon Musk, CEO of Tesla and SpaceX, will join Trump in Shenzhen, though officials noted he will not participate in the trilateral leader meetings with Xi and Vladimir Putin.
• Jensen Huang resigned as Nvidia CEO this week following reports of an affair with Alice Huang, an executive at Megaspeed International, which is suspected of diverting restricted chips to China.
• Treasury Secretary Scott Bessent stated his department favored adding Megaspeed to the national security blacklist for months, despite previous delays by the Commerce Department.

Background

This development follows weeks of intense scrutiny after U.S. intelligence alleged that Alice Huang, an executive at Singapore-based Megaspeed, was a Chinese spy involved in an affair with Jensen Huang. While Trump previously defended Huang as 'honorable' and expressed confidence in his integrity, the scandal has intensified questions about the Commerce Department’s enforcement of chip export restrictions. Nvidia shares had previously dropped significantly before rebounding, and Beijing has consistently dismissed the espionage claims as baseless.

How outlets are covering it

CNBC, Politico, and the Financial Times all agree that Trump will not raise the Alice Huang issue with Xi, emphasizing that the economic focus will be on trade agreement implementation. However, the Financial Times highlights a bureaucratic friction, noting that the Commerce Department delayed adding Megaspeed to the blacklist while the Treasury Department supported the move. CNBC and Politico note that Elon Musk will accompany Trump, with officials citing his business interests and national security relevance, whereas the Financial Times clarifies that Musk will not be part of the nuclear discussions or detailed Starlink negotiations. All sources confirm China’s rejection of the allegations as groundless.

Why it matters

The decision to exclude the Nvidia scandal from high-level diplomatic talks signals a strategic separation of trade negotiations from domestic national security investigations. It underscores the administration’s priority to maintain economic stability with China while allowing internal probes to proceed independently, potentially affecting future U.S.-China tech relations and the enforcement of chip export controls.

What to watch

Trump is scheduled to meet Xi Jinping and Vladimir Putin in Shenzhen on Nov. 18-19. The U.S. government will likely continue its internal review of Megaspeed’s status on the national security blacklist, while the FBI investigation into the alleged espionage and Jensen Huang’s resignation will proceed without direct diplomatic intervention at the summit.