The Trump administration intends to rescind and revise a policy from the Biden era that limited international sales of advanced artificial intelligence chips, media outlets reported, citing a US Commerce Department spokesperson.

The regulation sought to, among other things, restrict China's ability to obtain cutting-edge semiconductors by categorizing nations into tiers, according to the reports.

The Commerce Department spokesperson reportedly said the existing framework was too cumbersome and bureaucratic, adding that a simpler rule would replace it to support innovation while maintaining US dominance in AI.

Shares of Nvidia (NVDA) were up 1.8% in recent premarket activity Thursday, while AMD (AMD) rose 2.1%.