China Calls Nvidia Espionage Claims Baseless as Huang Discloses Ties

China denied on Monday that a spying plot was orchestrated to ensnare Nvidia CEO Jensen Huang. Guo Jiakun, a spokesperson for the Chinese Ministry of Foreign Affairs, labeled the espionage accusations as unfounded. He described the claims as a campaign of slander against Beijing.

The dispute follows a report by The New York Times detailing Huang's disclosure to Nvidia's board. Huang acknowledged a close relationship with a business executive. U.S. intelligence agencies determined that this executive was gathering information for Beijing. Nvidia announced on Sunday that the company would begin an internal investigation into the matter. Huang did not name the individual involved in the relationship during his board presentation.

Huang stands at the center of a debate over the sale of advanced computer chips to China. The U.S. has imposed technology restrictions to limit China's access to these tools. Nvidia, one of the world's most valuable public companies alongside Apple and Microsoft, has pushed to ease these limits. In recent years, Huang lobbied U.S. President Donald Trump to allow the sale of H200 chips this year. Earlier, he also secured permission to sell less advanced H20 chips designed for the Chinese market.

The New York Times report identified the executive as Alice Huang. She led a firm that faced accusations of smuggling advanced chips into China. The publication stated she acted as a spy for Beijing. China had already dismissed the initial report before the CEO's public admission. State media in China have focused heavily on Huang's confirmation of the relationship. Many outlets repeated the government's official line that the story aims to destabilize relations between Washington and Beijing.

George Chen, a partner at the Washington-based consultancy The Asia Group, noted that the central issue is whether Huang knew of any espionage activity. He asked if any confidential or strategically sensitive information was compromised. Chen stated that these questions require evidence rather than speculation. He provided these comments in a written statement.

The state-owned Global Times newspaper argued that critics often fire from the shadows whenever China-U.S. relations begin to improve. The report by The New York Times suggested the relationship was intimate. Huang's admission to the board confirmed the existence of the tie but did not specify the duration or the exact nature of the information shared. Nvidia's board received the disclosure before the company announced its review process. The H200 chips are not the latest models from Nvidia but remain technologically advanced. It is unclear if Beijing will allow Chinese companies to purchase these chips in large quantities.

The U.S. intelligence assessment that the executive was collecting information for Beijing forms the basis of the espionage claims. China's foreign ministry maintained that the accusations lack a solid foundation. The company's investigation will determine if the board received all relevant details at the correct time. Huang continues to lead Nvidia as it navigates export controls. The H20 chips complied with U.S. export restrictions while serving the Chinese market. The H200 chips represent a newer tier of hardware. The diplomatic exchange over the incident continues as both sides weigh the implications of the CEO's disclosure.