The U.S. administration launched a formal review regarding the first potential shipments of NVIDIA’s advanced H200 artificial intelligence chips to China.
President Trump indicated he would allow the sales, provided the U.S. government collects a 25% fee. This fee aims to maintain the U.S. lead in chip technology by reducing demand for Chinese alternatives.
The Commerce Department forwarded the license applications to the State, Energy, and Defense Departments. These departments face a 30-day review period. Officials describe the governmental scrutiny as thorough, noting that the final decision rests with the president. This process introduces uncertainty regarding the timeline and approval of the exports.
The potential easing of export controls follows reports highlighting the widening performance gap between U.S. (NVIDIA) and Chinese (Huawei) AI chips.