NVIDIA can now sell its high-end AI chips to 'approved customers in China,' Trump says

NVIDIA has been granted permission to sell its second-best H200 AI processors to "approved customers in China," according to President Trump. The U.S. will impose a 25% tariff on these sales, which is higher than the previously suggested 15% rate. The decision is aimed at striking a "thoughtful balance" that allows NVIDIA to maintain a presence in the Chinese market, as the administration was reportedly concerned that the company would lose business to Huawei if completely shut out. However, the move has been criticized by some Democratic senators and Republican representatives, who view it as a "colossal economic and national security failure" that will aid China's industry and military. Despite the current restrictions, a significant amount of NVIDIA's high-end chips, including the more capable Blackwell B200, have already found their way to China through black market sales. The article notes that while the U.S. government's approval doesn't guarantee that China will purchase NVIDIA's chips, as Beijing has previously discouraged the use of U.S. technology, AI chip experts believe NVIDIA's technology remains significantly ahead of what Huawei and other Chinese companies can currently produce.