Bessent hints at discord between treasury and commerce departments over advance chip exports
Scott Bessent, the US treasury secretary, said today that “for months” he has been in favor of putting Megaspeed, the data company whose executive is an alleged Chinese spy, on a trade blacklist to stop Nvidia from exporting advanced chips to Beijing.
However, Bessent said this has been stalled because “commerce [department] has the pen”.
“You will have to ask them about their internal process,” the treasury secretary added in an interview with CNBC on Friday.
Earlier this week, Axios reported that Bessent allegedly confronted Howard Lutnick, the commerce secretary, about his failure to put Megaspeed on the trade blacklist in the White House Situation Room.
However, speaking to CNBC, Bessent refused to comment on the meeting.
“We don’t repeat conversations in the Situation Room,” he said.
Key events

Ariana Baio
Reporting from Denver
It’s day two of the Democratic conference here in Denver and there are more Democratic officials on the grounds today for some of the heavy-hitter events featuring former transportation secretary Pete Buttigieg, Pennsylvania Governor Josh Shapiro, Senators Raphael Warnock and Cory Booker among others.
Among the most anticipated events today is a discussion on the 120th Congress from Hakeem Jeffries, who is poised to become the next House speaker when Democrats re-take the House majority next year.
Energy is still high on the grounds, with lots of excited chatter about the officials who will at the conference today.
But there is a more serious undertone since today’s programing focusing a lot on what Democrats can do better, one event is called “The Lies We Tell Ourselves” another is “What You’re Still Getting Wrong about Gen Z”.
More attendees are dressed in suits and professional outfits, compared to the jeans and cowboy hats dozens adorned yesterday.
Analysis: Chuck Schumer’s challenger for party control underscores Democrats’ ideological rift

George Chidi
US senator Chris Van Hollen’s challenge to Chuck Schumer’s leadership of Senate Democrats presents an ideological and biographical contrast to the party as it takes control of Congress in two months.
Though only about eight years younger than Schumer, Van Hollen is seen as a more progressive senator who has drawn attention for his opposition to the Trump administration’s abusive immigration practices – visiting his constituent Kilmar Ábrego García after an unlawful deportation to El Salvador – as well as opposition to federal corruption and US support for the Israeli government’s war in Gaza.
Long a supporter of a two-state solution, Van Hollen visited the Rafah crossing between Egypt and Gaza in January 2024 to observe aid shipments, declaring the assistance process “broken”. He subsequently voted for a resolution proposed by US senator Bernie Sanders to apply the human rights provisions of the Foreign Assistance Act to US military aid to Israel. The resolution failed 72-11, with most Democrats also opposing the measure.
Van Hollen authored a report in November 2025 which described the war as a “plan to ethnically cleanse Gaza of Palestinians”, and that “America is complicit.” He has worked to end arms shipments to Israel and opposes American security agreements with Israel in the National Defense Authorization Act.

The Maryland senator is also a critic of cryptocurrency and decentralized finance in ways that distinguish him from Schumer and Democratic political ties to the New York financial markets.
“As we’ve seen time and again, cryptocurrency and digital assets are rife with opportunity for abuse if left unchecked,” Van Hollen said in a statement opposing the Clarity Act, a financial regulatory package offered by Republicans. Van Hollen has pursued legislation to ban federal officials from owning or promoting cryptocurrency, pointedly highlighting the president’s billion-dollar gains.
Speaking in post-election interviews last week, Van Hollen argued that Democrats “should not be overly cautious in going after corporations, billionaires and special interests that voters blame for making their lives harder”.
Mark Hertsgaard
The leader of the world’s fourth biggest economy, California governor Gavin Newsom, has explicitly endorsed a global phase out of the fossil fuels that drive climate breakdown.
Newsom told the Guardian that California is “100%” behind the efforts of the so-called Santa Marta coalition, a group of more than 50 countries that includes many of the world’s largest economies, to transition away from oil, gas and coal toward solar, wind, batteries and other non-carbon energy sources.
Speaking at the Cop31 UN climate summit on Thursday, Newsom said:
When you have a product that is obviously superior, which clean energy is for the climate and the economy, why wouldn’t you make that shift as quickly as possible?

As the head of America’s most populous and economically powerful state, Newsom is the most prominent US politician at Cop31, a process Donald Trump’s administration continues to boycott.
Newsom, a Democrat, is widely expected to run for president in 2028. His statement raises the possibility that the US, the world’s biggest economy and largest historical emitter of planet-warming gases, could join the Santa Marta coalition if he wins the presidency two years from now.
More on this story here:
No migrant caravans headed to US, says Mexico’s president
Mexico’s president, Claudia Sheinbaum, has again rebutted Donald Trump this morning, reiterating that no migrant caravans are headed toward the northern border with the United States.
There are two migrant caravans in Mexico, she said at her daily news briefing, “One dissolved while en route, and most of its members have already returned to their countries of origin, and another caravan is only just forming.”
“There is no caravan currently in transit through our country on its way to the [US] border,” Sheinbaum added, in comments reported by Reuters.
It comes after Trump threatened yesterday to double tariffs on Mexico if it did not stop the “huge CARAVANS” of migrants from reaching the US border, to which Sheinbaum had told her Thursday briefing that “not a single migrant caravan has reached the north” since January 2025, when Trump took office.
As the Washington Post (paywall) notes this morning regarding Trump: “The warning fused two of the president’s favored issues – immigration and tariffs – as he regroups following historic losses for the Republican Party in the midterm election last week … Trump has long warned of migrant caravans at moments of political peril for him, including ahead of the 2018 midterm election, in which Republicans lost control of the House.”
US Senate race in Alaska on knife’s edge as Democrats eye ninth pick-up
The votes are still being counted in the nail-biting US Senate race in Alaska, where Democrat Mary Peltola, a former congresswoman, is leading the Republican incumbent, Dan Sullivan, by 5,800 votes.
As of now, 88% of the ballots have been counted. But since Alaska uses a ranked-choice voting system, if no candidate reaches 50% of the vote, the weakest of the four on the ballot will be eliminated and their votes will be redistributed to their next choice and then the overall number will be recounted.

Fabiola Cineas
The bright blue map that emerged on election night in the US was unthinkable two years ago. When Donald Trump won the 2024 presidential election, many Democratic voters curled up in bed and doomscrolled, fatigued and fearful about the direction of the country. Any desire to fight back was dampened by the enormity of the loss.
But the mood gradually shifted over the following two years, culminating in a generational shift on election day: Democrats flipped five governors’ seats and took control of the House and Senate by wide margins. Voters were angry about the rising cost of living, the war in Iran, masked immigration agents in their neighborhoods and datacenters rising in their backyards.
But anger alone didn’t boost turnout. That required years of building coalitions, developing local campaigns and expanding movement infrastructure that turned frustration into organized action – and, eventually, votes.
Now, these same organizers are determining where to go next. The goal was never about any one party or politician. To continue to build power, movements must diversify their tactics, make clear demands, put pressure on the newly elected and keep building community-based networks, movement experts said. And they must be unrelenting.
“Elections themselves don’t achieve what it is that people want,” said Keeanga-Yamahtta Taylor, an African American studies professor at Princeton University and the author of From #BlackLivesMatter to Black Liberation. “They set the table for the possibility of change.”
In other tech-related news, the Microsoft outage is still going. The longest in the company’s history. My colleagues are covering the latest and how it’s affecting millions and pretty much every industry …
Lutnick set to testify on Nvidia fallout in December
As I noted earlier, the calls for Howard Lutnick to appear before lawmakers on Capitol Hill have been answered.
According to several reports, the commerce secretary has “proactively agreed to appear voluntarily” before the Senate banking committee on 10 December to discuss his relationship with former Nvidia CEO Jensen Huang, and any delay in preventing Megaspeed from buying considerable sums of Nvidia’s advanced chips.
Bessent hints at discord between treasury and commerce departments over advance chip exports
Scott Bessent, the US treasury secretary, said today that “for months” he has been in favor of putting Megaspeed, the data company whose executive is an alleged Chinese spy, on a trade blacklist to stop Nvidia from exporting advanced chips to Beijing.
However, Bessent said this has been stalled because “commerce [department] has the pen”.
“You will have to ask them about their internal process,” the treasury secretary added in an interview with CNBC on Friday.
Earlier this week, Axios reported that Bessent allegedly confronted Howard Lutnick, the commerce secretary, about his failure to put Megaspeed on the trade blacklist in the White House Situation Room.
However, speaking to CNBC, Bessent refused to comment on the meeting.
“We don’t repeat conversations in the Situation Room,” he said.
As we bring you the latest on the ramifications of Jensen Huang’s resignation, my colleague Jonathan Freedland has a wider discussion about Donald Trump’s decision to continue defending men who are facing a lot of heat. From Huang to embattled defense secretary Pete Hegseth. Trump has also (jokingly) begged strongmen to take his job offers.
In this week’s episode of Politics Weekly America, Jonathan speaks to the New Yorker’s Susan Glasser about why Trump’s judgment of high-profile men is … questionable.
Commerce secretary to testify on Capitol Hill over Nvidia fallout
There has been a wave of calls from Republican lawmakers in Congress for commerce secretary Howard Lutnick to testify on Capitol Hill, after Jensen Huang’s resignation as CEO of Nvidia.
Tim Scott, the Republican senator and chair of the banking committee, has sent a letter to Lutnick, calling for him to appear before his committee to discuss the national security concerns about chip export regulations in light of Huang’s relationship with data company executive and suspected Chinese spy Alice Huang (no relation to Jensen).
This also comes amid a New York Times report that the commerce department, under Lutnick’s leadership, has taken a more relaxed stance on Nvidia’s advanced chip sales to Asia given Lutnick’s close relationship with Huang.
Earlier this week the Times reported that a commerce department investigation into whether Megaspeed, Alice Huang’s company, was smuggling Nvidia chips into China, withered after an intervention from Nvidia’s general counsel.
Donald Trump is in Washington today, and will stay in the capital throughout the weekend.
He’ll spend the day in closed-door meetings on Friday, but we’ll let you know if anything opens up and we hear from the president in person.
JD Vance and 2028: To run or not to run?
Will JD Vance run for president in 2028? It’s a question that seems to have two rather different answers, depending on which news outlet you read.
Drawing on interviews with about a dozen people close to the US vice-president, CNN reported that his path to the Republican nomination has become less certain following the political fallout from the Republicans’ disappointing midterm performance.
One source said: “I wouldn’t be surprised by any decision he makes.” The same source pointed out that, at 42, Vance has plenty of time to pursue the presidency in future, adding: “It just may not be his time.”

A central concern appears be the consequences of Trump’s war with Iran. As one Vance ally put it: “The question isn’t if JD can do it. It’s: If the Iran war is still happening, can any Republican do it?
“If they don’t end the war in Iran, no Republican has a shot at 2028.”
While CNN painted a picture of a vice-president seriously weighing his options, the Washington Post offered a different perspective. In its report, based on conversations with more than a dozen people in Vance’s orbit, the newspaper said he remained more likely to run than not.
One person close to Vance said: “Two years is such an eternity in politics, and people are very easily prisoners of the moment.”
The Post reported another salient point:
People around Vance have embraced criticism from Republican backers of the war. Vance’s goal has long been to make ‘the right enemies’, and he is doing so now, another ally said.”
Lex McMenamin
Dozens of protesters with the Sunrise Movement, a youth climate organization, were arrested after staging a sit-in inside Senate minority leader Chuck Schumer’s Washington DC office on Thursday.
According to the Sunrise Movement, 54 people were arrested, among a few hundred who joined the protest from across the country, including some from New York, which Schumer represents. On its Instagram, the group is fundraising $24,000 to cover the bail fees and any potential legal fees for those arrested.

Capitol police were not immediately available for comment.
In a clip on the Sunrise Movement’s Instagram, with over 40,000 likes at the time of publication, young people sitting on the office floor chanted: “Hey hey, ho ho, Schumer has got to go!” Protesters, including children, held signs reading “The filibuster kills,” “Stop the climate crisis,” and “Schumer: Step up or step aside.”
Read more:
There have been murmurings of a possible leadership challenge in recent days, with a number of Democrats questioning whether Schumer is the right person to lead the party into its next chapter.
Among the most outspoken was Kansas senator-elect Adam Hamilton, who warned Schumer was seen by many people in his state as a “polarising” and “divisive” figure.
“What I’d be looking for is a leader who can lead from the centre,” he told NBC on Sunday. “Somebody who can bring Republicans and Democrats together, somebody who can bring the various factions in the Democratic party together. Somebody with fresh ideas.
“No disrespect for Chuck Schumer, just it feels like it is a time for fresh and new ideas and somebody who can unite us instead of dividing us.”
Senator Elissa Slotkin, of Michigan, has also made clear she does not support Schumer as leader.

“I think whoever wants to run this caucus should come forward with a plan on how they’re going to govern differently, what they’re going to do in the first 100 days to put money in people’s pockets and then in particular how they’re going to communicate differently,” Slotkin said on Tuesday, adding that she was not actively seeking the position herself.
Speaking alongside her at the joint press conference, independent Vermont Senator Bernie Sanders, who caucuses with the Democrats, praised Schumer’s role in the party’s success in the midterms but argued such victories should not entitle him to another term in the leadership.
“I personally have known Chuck Schumer for over 30 years, and I like Chuck. Nobody works harder than Chuck Schumer,” Sanders said.
“But in my view, the time is now for change, and I will not be supporting Chuck to be re-elected as the Democratic leader.”
Van Hollen takes aim at Schumer as Democrats face first big test after midterm wins
Good morning, and welcome to the US politics live blog.
Barely a week after sweeping to a stunning midterm victory, Democrats have found themselves facing an altogether different battle, one within their own ranks.
Maryland Senator Chris Van Hollen has launched a challenge to Chuck Schumer, of New York, for the Senate’s top Democratic leadership post. Announcing his decision during an interview with MS Now last night, Van Hollen argued that last week’s midterm election results showed Americans wanted a fundamental change in Washington, and that Democrats needed new leadership in order to deliver that.

He said:
We saw a huge outburst of democracy on election day – red states, blue states, purple states – and it wasn’t only a rejection of Donald Trump and his corruption, his wars and his cruelty, it was also about a call for a larger change, to take on a broken economic system that’s rigged in favour of the very wealthy against working people, and it’s fuelled by a corrupt political system.
The call was to reject the status quo and to reject business as usual, and to do that, I think we need new leadership.”
His challenge came just days after Democrats secured control of the Senate, winning at least 55 seats in what has been a remarkable election cycle for the party. Winning the leadership contest requires a majority of the caucus, about 28 or 29 senators, with an election scheduled for next month.
The caucus votes behind closed doors by secret ballot, but Van Hollen told MS Now that he had the support of “more than 10” Democratic senators.
Progressive heavyweight Bernie Sanders, an independent senator from Vermont who caucuses with the Democrats, has already publicly declared he will not support Schumer, saying “the time is now for change”. Endorsing Van Hollen, Sanders said: “The American people voted for change. They want a Democratic Party that will stand up to powerful special interests, take on the billionaire class and fight for working families.”
Incoming Democratic senator Abdul El-Sayed, of Michigan, has also openly backed Van Hollen, saying he was “proud to stand with him in his bid to lead our Senate majority”.
The American public spoke clearly last week. They rejected Trumpism. But we have yet to earn our mandate. That will require bold leadership. I called [Van Hollen] to lead our caucus as a candidate back in April because he leads with courage and experience. We need both right now.”
Responding to Van Hollen’s leadership bid, Schumer, who has led Senate Democrats since January 2017, said he welcomed “a discussion about the future of our caucus and the important work ahead”, but that he had the votes to be re-elected as leader.