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The Silicon Valley chip giant said the Trump administration, which had shut down its sales to China three months ago, had assured it that licenses for the sales would now be granted.
Published July 14, 2025Updated July 15, 2025, 12:24 a.m. ET
Three months after shutting down Nvidia’s artificial intelligence chip sales to China, the Trump administration has reversed course.
On Monday, the Silicon Valley company said in a blog post that the U.S. government had approved sales of a China-specific A.I. chip known as the H20. Nvidia will still need licensing approval from the U.S. government to fulfill those orders, but the Trump administration “has assured Nvidia that licenses will be granted,” the company said.
The decision came after Jensen Huang, Nvidia’s chief executive, met last Thursday with President Trump. Mr. Huang has spent months lobbying politicians across Washington to keep China open for A.I. chip sales. China has the potential to deliver billions of dollars in sales for the world’s most valuable public company, which last week became the first to reach a $4 trillion valuation.
Mr. Huang has also visited China several times this year, including a trip to Beijing this week where he is scheduled to give a news conference on Wednesday.
The Commerce Department and White House did not immediately respond to requests for comment.
The reversal has major implications for the race between the United States and China to develop artificial intelligence. It will allow Chinese tech companies to restart purchases of Nvidia’s chips, which are regarded as ideal for running some of the calculations that power A.I. Nvidia was slated to collect as much as $15 billion from sales of the H20 chip during its current fiscal year.
With the change, the Trump administration has also backed away from a signature effort to stay ahead of China in the A.I. race. The U.S. government had been concerned that the Chinese military could use A.I. chips to coordinate attacks and develop weapons and had also wanted to preserve the U.S. lead in developing A.I. systems.
