 "Trump bows to China pressure? US seeks compromise over Nvidia H200 AI chip export, says report")
US President Donald Trump has authorised Nvidia to sell AI chips to China, as he informed Chinese President Xi Jinping of the development.
Nvidia will now be able to sell its H200 chips to China. The H200 chips are way outdated than the company’s latest Blackwell chip, which is considered the most advanced AI chip available anywhere.
Although Trump has clarified that the US will not provide China with the Blackwell chip, the sale could be worth billions of dollars for Nvidia. The company has said it has more than $500 billion worth of orders for its best artificial intelligence chips to fulfil this year and next, and that’s before any buyers in China are factored in.
‘Xi responded positively’
In a post on Truth Social, Trump said, “I have informed President Xi, of China, that the United States will allow NVIDIA to ship its H200 products to approved customers in China, and other Countries, under conditions that allow for continued strong National Security. President Xi responded positively!”
The president added that “other great American companies” like Intel and AMD will also start selling their chips soon. Trump defended the move by saying that it will create more jobs in the US, strengthen manufacturing and be beneficial to taxpayers.
Nvidia welcomes move
Trump’s latest announcement effectively means that the US has lifted a ban on the sale of AI chips to China as both countries try to get ahead in the tech race.
Nvidia said in a statement, “We applaud President Trump’s decision to allow America’s chip industry to compete to support high paying jobs and manufacturing in America.”
“Offering H200 to approved commercial customers, vetted by the Department of Commerce, strikes a thoughtful balance that is great for America,” the company said.
The development also follows months of persuasion by Nvidia CEO Jensen Huang to allow the company to sell some chips to customers in China.
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