The Trump administration granted formal approval for Nvidia to sell its H200 AI chips to customers in China, establishing new conditions intended to limit security risks while allowing commercial exports. The decision clears a path for shipments of Nvidia’s second most powerful AI processor.
Under the rules, the H200 chips must be reviewed by an independent testing laboratory to verify their technical capabilities before export. China-bound shipments cannot exceed 50% of the volume sold to U.S. customers. Nvidia must certify adequate domestic supply, while Chinese buyers are required to demonstrate sufficient security safeguards and confirm the chips will not be used for military purposes.
Nvidia said the policy creates a balanced framework that supports U.S. competitiveness in the global semiconductor market. The company added that restricting approved commercial sales could benefit foreign competitors.
President Donald Trump previously said the sales would be permitted in exchange for a 25% fee paid to the U.S. government. The decision has drawn criticism from lawmakers concerned about China’s access to advanced AI technology. Analysts said the export caps represent a compromise but could prove difficult to enforce in practice.