China Denies Alleged Spy Plot Involving Nvidia CEO Jensen Huang

China has rejected allegations of an alleged espionage plot involving Nvidia CEO Jensen Huang, describing the claims as unsubstantiated and part of what it called a smear campaign against Beijing.

The denial followed a report by The New York Times that Huang had acknowledged to Nvidia’s board that he was involved in an intimate relationship with a business executive whom U.S. intelligence officials reportedly believed was gathering information for China.

China Rejects Espionage Allegations

Chinese Foreign Ministry spokesperson Guo Jiakun dismissed the allegations on Monday, saying they were unsupported by evidence.

“The so-called Chinese spy allegation is unsubstantiated. It is nothing but smears against China,” Guo said.

The controversy centres on a reported relationship between Huang and a Chinese businesswoman identified as Alice Huang, who reportedly ran a company that faced allegations of smuggling advanced computer chips into China.

China had previously rejected the report, while Huang has not publicly identified the person involved in the alleged extramarital relationship.

Nvidia Launches Investigation

Nvidia announced on Sunday that it would investigate the matter. The company’s shares fell by approximately five per cent in pre-market trading on Monday as the controversy attracted attention.

The allegations have raised questions about whether Huang was aware of any suspected intelligence-gathering activities and whether confidential or strategically sensitive information was compromised.

George Chen, a partner and chair of digital practice at Washington-based consultancy The Asia Group, said those questions would require evidence rather than speculation.

Huang's Role in US-China Chip Trade

The controversy comes as Huang remains a prominent figure in debates over the sale of advanced computer chips to China amid US restrictions designed to limit Beijing’s access to sensitive technology.

Huang has repeatedly pushed for fewer restrictions on Nvidia's chip sales to China and successfully lobbied US President Donald Trump to allow the company to sell its H200 chips this year.

Although the H200 is not Nvidia’s most advanced chip, it remains a powerful technology. The company disclosed in an August filing that sales to China had been limited, partly because of restrictions imposed by the Chinese government.

Huang had also previously advocated for the sale of Nvidia’s less-advanced H20 chips, which were designed for the Chinese market to comply with US export controls.

Chinese Media Reacts

Chinese media coverage has largely focused on Huang’s reported admission of the relationship, with state-owned outlets echoing Beijing’s rejection of the espionage allegations.

The state-owned Global Times suggested that the report was intended to undermine improving relations between China and the United States, arguing that attempts to disrupt diplomatic progress often emerge when ties between both countries begin to improve.

For now, questions surrounding the alleged espionage activities and any possible compromise of sensitive information remain unresolved.

The Associated Press