Technology12/10/2025•Ars Technica

US taking 25% cut of Nvidia chip sales “makes no sense,” experts say

US taking 25% cut of Nvidia chip sales “makes no sense,” experts say

The US government has implemented a 25% tariff on Nvidia's chip sales, which experts argue makes little sense. This decision comes as a reversal of the Trump administration's previous policy, which had exempted Nvidia from such tariffs. The tariff could potentially pave the way for China to demand access to Nvidia's Blackwell technology, a highly specialized chip used in military and sensitive applications. Experts suggest this move by the US government may inadvertently benefit China, as it could leverage the tariff to gain access to the restricted technology. The article highlights the perceived lack of logic behind the US government's decision, as it may ultimately undermine American technological dominance and provide an opportunity for China to acquire sensitive military-grade hardware. The experts quoted in the article express concern over the potential strategic implications of this policy reversal.

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