US President Donald Trump says the Federal Bureau of Investigation (FBI) is investigating allegations surrounding an affair between Nvidia Chief Executive Officer, Jensen Huang, and a Chinese businesswoman suspected of espionage.

Trump disclosed this while speaking with journalists at the White House, saying he had spoken with Huang following reports that US intelligence officials believed the technology executive had been targeted in a Chinese espionage operation.

The President said he asked Huang whether he knew the woman, identified as Alice Huang, was allegedly a spy, but the Nvidia boss reportedly denied having such knowledge.

Trump said he believed Huang’s explanation and expressed confidence that he would come out of the investigation without serious consequences.

Meanwhile, China has rejected the espionage allegations, describing them as baseless, speculative and an attempt to tarnish its image.

Nvidia has also initiated an independent investigation into the matter, insisting that there is currently no reason to believe its trade secrets or US national security have been compromised.

The development has raised concerns over possible Chinese intelligence activities targeting the American technology industry, particularly amid ongoing tensions between Washington and Beijing over advanced semiconductor technology.