Trump Administration Eases Restrictions on Nvidia H200 Chip Exports to China

The administration of Donald Trump has once again eased export restrictions on Nvidia’s H200 semiconductor, allowing controlled sales of the advanced chip to China under revised regulations issued by the US Department of Commerce on Tuesday.

Under the updated rules, export applications for the H200 chip will now be reviewed on a case-by-case basis, replacing the previous presumption of denial. The move follows comments made by President Trump last month indicating that advanced chips could be sold to “approved customers” in China, subject to a 25% government surcharge.

The decision comes after sustained lobbying by Jensen Huang, the chief executive of Nvidia, as the company sought relief from restrictions imposed over national security concerns. US lawmakers have previously warned that advanced semiconductors could be used to enhance China’s military and artificial intelligence capabilities.

To mitigate these risks, the revised regulation introduces a series of safeguards. All chips must undergo verification by third-party testing laboratories to confirm performance specifications prior to shipment. In addition, exports will only be permitted if domestic supply levels in the US remain sufficient, and China will be limited to receiving no more than 50% of products manufactured for the US market.

Exporters are also required to implement strict “Know Your Customer” procedures to verify end users and intended applications, a measure aimed at preventing unauthorised access or misuse of the technology.

The updated framework applies to Nvidia’s H200 chip, the company’s second-most-advanced processor, as well as certain less advanced models. Nvidia’s newer Blackwell processor and the upcoming Rubin platform are excluded from the policy change. The same rules will also cover comparable advanced chips produced by rival manufacturers, including AMD.

In a statement, an Nvidia spokesperson welcomed the decision, saying it would allow American chipmakers to remain competitive while supporting high-value jobs and domestic manufacturing. The spokesperson added that the revised rules strike a balance between national security and commercial interests.

Semiconductors have become a central point of tension in the intensifying US-China technology rivalry. While the United States continues to lead global chip production, China has accelerated efforts to strengthen its domestic semiconductor industry. Critics of export bans argue that limiting access to US technology may ultimately push Chinese firms to innovate faster.

According to a Reuters report published in late December, Chinese technology companies have already placed orders exceeding two million H200 chips for delivery in 2026, far surpassing Nvidia’s current inventory. The decision is expected to bolster Nvidia’s revenues, even as the US government continues to levy a surcharge on approved sales.