The Trump administration plans to lift a blockade on exports of Nvidia's H200 chips to China — and the U.S. government will get a 25% cut from future sales, the president said Monday.
Why it matters: Nvidia CEO Jensen Huang has been pressing the White House to allow the U.S. to export advanced chips to China, arguing that it'll help the U.S. win the AI race.
Driving the news: Trump said on Truth Social that he'll allow Nvidia to sell H200 chips — the generation of chips before its current, more-advanced Blackwell lineup — to China, with the U.S. government pocketing a quarter of the revenue.
- He said he would apply "the same approach to AMD, Intel, and other GREAT American Companies."
State of play: It's not dissimilar to a deal from earlier this year in which Nvidia and AMD agreed to give the U.S. 15% of the sales of its less-advanced H20 chip to China in exchange for export licenses.
Threat level: American defense hawks fear that China could use Nvidia chips to advance its military ambitions.
- Trump said Monday that the sales will be subject to "conditions that allow for continued strong National Security."
- The blockade remains in place for Nvidia's current generation of Blackwell chips, which will be replaced in the second half of 2026 by even more advanced Rubin chips.
- Huang said recently he was unsure if China would want the older chips.
What they're saying: "We applaud President Trump's decision to allow America's chip industry to compete to support high paying jobs and manufacturing in America," Nvidia said in a statement. "Offering H200 to approved commercial customers, vetted by the Department of Commerce, strikes a thoughtful balance that is great for America."
Editor's note: This story has been updated with a comment from Nvidia.
