U.S. allows Nvidia H200 exports to China with 25% fee

AWANI

The U.S. will allow Nvidia’s H200 AI chips to be exported to China with a 25% fee, as Washington balances national security concerns with maintaining American leadership in advanced semiconductor technology.

Transcript

00:00The United States will allow NVIDIA's H200 artificial intelligence chips to be exported

00:06to China, but only under strict conditions and with a 25% fee on each sale. President Donald

00:13Trump has announced the decision on Monday, saying it balances national security with

00:17maintaining America's lead in AI technology. The 25% fee, higher than 15% proposed earlier,

00:26will be collected as an import tax from Taiwan, where the chips are manufactured before they

00:31are cleared for export to China. Trump added that the Commerce Department is finalizing

00:35conditions to ensure national security is protected. In his true social post, he said he

00:41informed Chinese President Xi Jinping off the move and claimed the response was positive.

00:46The decision aims to avoid a complete ban that Washington fears would help Chinese firms such

00:51as Huawei to dominate the domestic AI chip market. However, some in Congress immediately

00:56criticized the move, warning that allowing H200 exports could strengthen China's military and

01:02undermine US security. Several Democratic senators called the move a colossal failure, while

01:08Republican John Molinar said China would use the chips to boost surveillance and replicate

01:12NVIDIA's technology. The H200 is NVIDIA's second most advanced AI processor, and until now,

01:19U.S. export controls had barred it from the Chinese market.

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