U.S. Considers Allowing Nvidia to Sell H200 AI Chips to China

The Trump administration is evaluating a potential policy shift that would allow Nvidia to sell its H200 artificial intelligence (AI) chips to China, according to sources familiar with the matter. The Commerce Department is currently reviewing existing export controls that have previously restricted such sales due to national security concerns.

The H200 chip is more advanced than its predecessor, the H100, and is currently barred from sale to China. A less powerful version, the H20, remains permissible under current regulations. This potential policy change follows a recent easing of U.S.-China trade tensions, marked by a truce brokered in Busan between President Donald Trump and Chinese leader Xi Jinping.

Critics in Washington have expressed concerns that exporting advanced AI chips could enhance China's military capabilities. Meanwhile, Nvidia faces increasing competition in China from foreign rivals and is seeking to maintain its market position. The discussion on this policy change comes as the U.S. has also approved exports of Nvidia's new Blackwell AI chips to companies in the Gulf region.

A White House official declined to comment directly on the review but stated, "The administration is committed to securing America's global technology leadership and safeguarding our national security." The Commerce Department has not responded to requests for comment. Nvidia has indicated that current regulations prevent the company from offering competitive AI data center chips in China, leaving the market open to rapidly growing foreign competitors.