Investor Scott Bessent Faults Commerce Department for Slow Blacklisting of Megaspeed

Well‑known hedge‑fund manager Scott Bessent openly charged the U.S. Commerce Department with not adding Chinese tech company Megaspeed to the entity list, even though he said several government agencies had backed the move for months.

Megaspeed, which provides cutting‑edge semiconductor machinery, faces examination over purported connections to China’s military‑industrial complex. The Commerce Department’s entity list serves as a principal export‑control tool that prohibits U.S. firms from supplying products or technology to foreign entities judged to pose a security threat.

In a recent CNBC interview, Bessent remarked that "several government agencies were in favour of putting Megaspeed on the entity list for months," but the department, led by its present head, failed to act to restrict the firm. He implied that procedural delays or internal conflict let the company keep obtaining U.S. parts.

Bessent warned that the postponement may carry wider national‑security ramifications. Should Megaspeed continue to obtain U.S. semiconductor equipment, it could speed up the creation of technologies that might be diverted to military use, a worry repeatedly voiced by legislators and security experts.

Recognized for his candid opinions on corporate governance and geopolitical hazards, Bessent has earlier cautioned investors about holdings in companies tied to overseas defense initiatives. His latest comments increase pressure on the Commerce Department to review its position and possibly hasten the addition to the list.

Members of the House and Senate Armed Services committees have indicated a desire to convene hearings on the issue, and industry associations are watching developments closely. Officially placing Megaspeed on the entity list would probably set off a wave of compliance measures throughout U.S. supply chains, whereas ongoing delays could invite additional criticism of the department’s export‑control enforcement.