The US administration formally approved the export of NVIDIA’s H200 artificial intelligence chips to China. This decision marks a significant policy shift, reversing a previous ban on the components.
The approval includes strict conditions. Shipments to China are capped at 50% of the volume sold in the US market. Furthermore, the US requires a case-by-case review and third-party verification of the chips' capabilities before export.
Despite the relaxed US restrictions, Beijing appears to be blocking the imports. Chinese customs authorities received instructions not to permit the H200 chips into the country. Local tech companies were also advised to avoid purchasing the chips unless essential.
This creates an uncertain outlook for NVIDIA. The counter-action potentially neutralizes the benefit of the US approval and jeopardizes the company’s access to a key market with high demand.