The United States has decided to permit the export of Nvidia’s H200 processors, the company’s second-most powerful AI chips, to China while imposing a 25 percent fee on these sales. President Donald Trump announced the decision, noting that it aims to maintain American leadership in artificial intelligence while managing national security concerns. The move comes after months of debate over whether U.S. chipmakers should continue selling advanced AI hardware to China or restrict access entirely.
Market reaction was immediate, with Nvidia’s stock rising in after-hours trading following the announcement. Trump said he had informed Chinese President Xi Jinping about the decision and received a positive response. The U.S. Commerce Department is now working out the details of the export framework, which will also apply to other chipmakers, including AMD and Intel.
The decision does not specify how many H200 chips will be allowed for shipment but emphasizes that any exports will take place under conditions designed to protect national security. U.S. officials view the move as a middle path between allowing China access to Nvidia’s newest Blackwell chips—which remain restricted—and blocking all U.S. chip exports, a step they believe could strengthen Chinese alternatives such as those from Huawei.
Nvidia welcomed the policy, stating that selling H200 chips to vetted commercial customers in China offers a balanced approach that supports U.S. economic interests while maintaining security safeguards.
