US Treasury Secretary Scott Bassan demanded that the head of the Commerce Department, Howard Lutnick, include Singapore's Megaspeed on the sanctions list. The company purchased Nvidia semiconductors worth more than $4 billion, according to analysts, and is suspected by American intelligence of transferring advanced chips to China.
A dispute arose between the American departments. The Ministry of Finance insists on restrictive measures, while the Ministry of Commerce has so far refused to include Megaspeed in the list of organizations that pose a threat to state security. The reason for the refusal was the fear of complicating trade relations with China.
At the center of the dispute is the supply chain for high-tech products that Washington seeks to control. Purchases worth billions do not prove the transfer of chips to China: for now we are only talking about intelligence suspicions. Until a resolution is reached, the conflict reveals the tension between technological security and the desire to avoid worsening trade with China.
Ξeconomy.