Trump's Commerce pick to face Senate panel

Here's what we'll be listening for in the hearing.

Tariffs: Lutnick would be at the helm in executing Trump's favorite geopolitical tool.

• Trump on Monday said he'd impose tariffs on semiconductors.
• Commerce would have to launch either a Section 232 national security investigation for chips tariffs or collaborate with the Office of the U.S. Trade Representative on a Section 301 economic burden investigation — both of which could take up to a year.
• If Trump goes the IEEPA route on chips tariffs, that would likely be challenged and delayed in the courts.

CHIPS and Science Act: We expect Lutnick to face questions over the future of the program, which was championed by Commerce Committee members from both sides of the aisle.

• Trump has said that tariffs and tax incentives are a better way to incentivize domestic production than CHIPS, and there's also uncertainty over CHIPS money that hasn't gone out yet.

Export controls: Lutnick would inherit a global export control regime from former Commerce Secretary Gina Raimondo that some companies are angling for the department to change.

• Export controls are a popular policy on Capitol Hill, especially among China hawks, and Lutnick will be expected to explain how he would deal with them.

AI and emerging tech: Winning the global tech race will be front and center at Commerce, and lawmakers will want to know how, in addition to export controls, the U.S. can beat China.

• Commerce Ranking Member Maria Cantwell reintroduced a bipartisan bill on Tuesday that would direct Commerce to ensure resilient supply chains for emerging tech and identify opportunities to build U.S. manufacturing capacity.
• Lutnick will also likely face questions on how exactly AI should be regulated, after Trump gutted a Biden-era executive order and replaced it with one that calls for the administration to develop an AI "action plan" within 180 days.

Internet programs: The Biden-era Broadband Equity Access and Deployment Program is facing congressional criticism.

• States now have access to all of the BEAD funding, but Commerce may have to take a fresh look at the program as congressional Republicans flag issues with red tape.
• States also have access to all of the digital equity grants.

• The money has benefited red districts across the country and states having full access makes it harder to claw back.

Personal business dealings: Lutnick heads Cantor Fitzgerald, which was charged by the Securities and Exchange Commission in December with lying to investors.

• Lutnick, a banker, is among the wealthy business figures that Trump has lined his administration with, and we expect him to field questions from Democrats about potential conflicts of interest and working for the American people.

What they're saying: A committee minority aide said that in addition to pressing Lutnick on his understanding of the department's key initiatives, Democrats would drill into "his close ties to questionable companies like Tether which has well-known links to illicit activity, and fully resolving conflicts of interest."

• Lutnick's Cantor Fitzgerald holds a stake in Tether, a crypto company used by illicit actors.
• While the Trump administration is slashing DEI and climate change work across the federal government, Democrats like Sen. Ed Markey said they still plan to raise policy impacts on marginalized communities, workers and the environment.
• "Mr. Lutnick must make clear commitments that, if confirmed, he will implement policies that benefit the American people, not line the pockets of Trump's big money donors," Markey said.

The bottom line: Lutnick is among Trump's less controversial picks, and we expect a smooth confirmation process with full Republican support.