Kuehne & Nagel

U.S. authorities are investigating Singapore-based Apex Logistics, a unit of Swiss shipping giant Kuehne+Nagel, for allegedly helping smuggle Nvidia AI chips to China in violation of U.S. export controls. The Commerce Department's Bureau of Industry and Security is examining 47 Apex shipments from 2024, focusing on whether Apex transported servers made by Super Micro Computer, which contain Nvidia chips, from the U.S. to Southeast Asia, with the hardware ultimately reaching China via Hong Kong. Two former Apex employees allegedly applied a shipping code designating the hardware as exempt from U.S. export controls, and both left the company shortly after Apex was notified of the investigation. Apex acknowledged U.S. concern over a small number of 2024 shipments that may have involved materials ultimately forwarded to prohibited locations, and said it is fully cooperating. Kuehne+Nagel stock fell as much as 4.2% in European trading on Thursday, its largest intraday drop in more than three months. The Apex case is part of a broader enforcement push, including Taiwan prosecutors charging nine people and a separate U.S. case charging Super Micro co-founder Yih-Shyan "Wally" Liaw with diverting roughly $2.5 billion in Nvidia-equipped servers to China. Neither Nvidia nor Super Micro has been accused of wrongdoing in connection with the Apex probe, which may result in the first U.S. action against a transportation company for alleged participation in the illegal semiconductor trade.