US Approves Nvidia Chip Sales to China

The US government has approved the sale of Nvidia's advanced H200 AI chips to China, despite concerns that it could give China's technology industry and military an edge over the US. The sale is subject to certain conditions, including sufficient supply of the processors in the US and 'sufficient security procedures' by Chinese customers. Nvidia's CEO has welcomed the move, saying it will benefit manufacturing and jobs in the US. The decision is part of a geopolitical tug-of-war between the US and China in the global AI race. The US will take a cut from the chip sales to China, a move that could set a precedent for future trade tariffs.

A new generation of Chinese companies is expanding globally, following a different strategy than their predecessors. Examples include Urban Revivo, Luckin Coffee, and Mixue, which have successfully entered the American market. These companies are leveraging social media platforms like TikTok to promote their brands and products.

The US government has approved Nvidia to export its H200 artificial intelligence chips to China, despite previous restrictions. The Trump administration aims to balance curtailing China's AI progress with maintaining American AI firms' global market share. The H200 chip is Nvidia's second-most-advanced AI processor and can be shipped to China under certain conditions, including that its China shipments account for no more than half of the amount sold domestically. The decision is part of the US government's efforts to ease curbs on AI chip exports to China, which were initially restricted in January 2025 under the AI Diffusion Rule.

The US Trump administration has given the green light for Nvidia's H200 AI chips to be exported to China, despite concerns from China hawks in Washington. The decision allows Nvidia to ship the chips to China under certain conditions, including third-party testing to confirm their technical capabilities and certification that there are enough H200s in the US. Chinese customers must also demonstrate 'sufficient security procedures' and cannot use the chips for military purposes. The move is expected to kickstart shipments of the H200 chips to China, despite concerns that they could be used to supercharge Beijing's military and erode the US advantage in artificial intelligence.