NVIDIA founder and CEO Jensen Huang confirmed during his China visit that the U.S. government will lift export restrictions on H20 AI chips. Speaking to Chinese media on the 15th, Huang stated: "The U.S. government has approved our export license, allowing shipments to commence. We will now begin selling H20 to the Chinese market. I eagerly anticipate prompt deliveries – this is truly excellent news."
The announcement immediately buoyed global markets. European equities rose 0.2% with tech stocks leading gains, while Nasdaq 100 futures climbed 0.5% and S&P 500 futures advanced 0.3%. Asian markets similarly trended upward.
This policy reversal marks a significant victory for Huang, who had openly criticized export controls in recent months. NVIDIA's latest annual report reveals China contributed $17 billion – 13% of total revenue – during the fiscal year ending January 2025. Huang consistently emphasizes China's critical importance to NVIDIA's growth strategy.
The decision follows Huang's meeting with former President Trump before his China trip. "He knew about my visit and Chain Expo speech, wishing me a pleasant journey here," Huang confirmed. The Trump administration had originally banned H20 exports in April, targeting this China-specific AI accelerator designed to comply with earlier restrictions.
Bloomberg noted the approval signals progress in U.S.-China trade negotiations. Vey-Sern Ling, managing director at Union Bancaire Privée, observed: "This benefits not just NVIDIA, but the entire AI semiconductor supply chain and Chinese tech platforms developing AI capabilities. It's positive for bilateral relations."
U.S. Treasury Secretary Janet Yellen acknowledged the H20 matter surfaced during London talks, describing it as a "bargaining chip" in Geneva and London negotiations. Chinese Foreign Ministry spokesperson Lin Jian reiterated China's consistent opposition to "politicizing tech and trade issues," warning such actions "disrupt global supply chains and serve no one's interests."
Industry experts highlighted China's irreplaceable market potential. Xiang Ligang of the Zhongguancun Information Consumption Alliance stated: "Relinquishing the Chinese market equates to relinquishing opportunities and future growth." He noted U.S. tech restrictions have failed to curb China's technological advancement, while competitive pressure has motivated Washington to relax certain controls.
Huang's itinerary includes opening the 3rd China International Supply Chain Expo in Beijing on the 16th. Insiders reveal his visit aims to promote NVIDIA's new products while reaffirming long-term commitment to the Chinese market.