NVIDIA may sell H20 GPUs in China again

Following the Trump administration's updated restrictions, NVIDIA was no longer able to sell H20 GPUs in China. The Santa Clara-based company announced that the government will approve the chip export license. CEO Jensen Huang stated that the Chinese military will not use technology from US companies.

NVIDIA H20 returns to China

The previous administration had introduced several restrictions on chip exports to China. NVIDIA was prohibited from selling its most powerful GPUs, including the A100, A800, H100, H800, L40, and L40S, as they could be used to train generative AI models and develop military applications. HBM chips were also added at the end of 2024.

In mid-May, the Trump administration revoked the so-called AI Diffusion Rule, but the export ban to China remained in place, including that on NVIDIA's H20 GPUs . The California-based company lost approximately $5.5 billion and 45% of its market share.

In an interview with CNN, CEO Jensen Huang stated that the Chinese military will not use US technology because it is subject to export controls and therefore supplies could be cut off at any time. However, they have no need for NVIDIA chips, as they already possess enormous computing power.

The CEO's recent trip to Washington was productive. NVIDIA announced it will apply for a license to export H20 GPUs to China, and the government has granted approval. During the meeting with Trump and other officials, Huang reiterated his support for the administration's efforts to create jobs, strengthen the country's AI infrastructure, and ensure the United States maintains its leadership in the industry. A billion-dollar investment was likely promised in exchange for the license.