President Donald Trump stated on Monday that he is lifting export bans on Nvidia H200 chips destined for China, representing a major pivot in the trade dispute between the world's two largest economies, CNN reported.
These processors – ranked second in power within Nvidia's inventory – are critical components for artificial intelligence workloads. However, the president clarified that the agreement does not cover Nvidia's highly desired Blackwell series or the next-generation Rubin units.
"I have informed President Xi, of China, that the United States will allow NVIDIA to ship its H200 products to approved customers in China, and other countries, under conditions that allow for continued strong National Security. President Xi responded positively!" Trump wrote.
Nvidia, currently the most valuable corporation globally, has surged due to booming AI demand, yet this success has positioned it directly within geopolitical tensions over technological supremacy.
Trump's message included the stipulation: "25% will be paid to the United States of America," seemingly indicating the federal government will claim a quarter of the revenue Nvidia secures from these sales, according to CNN.
The announcement follows a meeting between Trump and Nvidia CEO Jensen Huang, amidst the president's repeated assertions that America must secure victory in the global AI race against heavy Chinese investment.
"We applaud President Trump's decision to allow America's chip industry to compete to support high paying jobs and manufacturing in America. Offering H200 to approved commercial customers, vetted by the Department of Commerce, strikes a thoughtful balance that is great for America," an Nvidia representative told CNN. Additionally, Trump revealed that the Commerce Department is finalizing similar protocols for Intel, AMD, and other American manufacturers.
"AMD commends President Trump's leadership in finding a thoughtful approach to export policies that allows for US companies to compete globally," an AMD spokesperson stated. "The president's decision strengthens American competitiveness, supports high-value domestic jobs, and drives American investment and growth in the semiconductor industry."
CNN noted that Intel did not immediately reply to a request for comment. This authorization follows earlier agreements Trump established this year, including a deal for AMD and Nvidia to remit 15% of their China-sales revenue to the US government, while he also stated in August that the state plans to take a 10% equity position in Intel.
