Jensen Huang Announces U.S. Approval for Nvidia's H20 AI Chip Exports to China

Nvidia CEO Jensen Huang has announced that the company has received U.S. government authorization to resume exports of its H20 AI computer chips to China. This announcement is expected to have a major impact on Nvidia's business along with technology relations between the U.S. and China

In April 2025, the White House tightened export controls, blocking the H20 and similar chips, especially from Nvidia and AMD, from sale to China. Us President Donald Trump cited national security concerns as reason behind this step. However, the restriction was lifted as disclosed via an Nvidia company blog and was also announced by Jensen Huang in interviews conducted in Beijing and broadcast on Chinese state TV, where he stated, "Today, I'm announcing that the U.S. government has approved for us filing licenses to start shipping H20s."

The approval came after months of lobbying by Nvidia and other U.S. tech firms. CEO Jensen Huang also met with President Donald Trump and U.S. policymakers to advocate for the easing of restrictions.

As per reports, The sudden export halt led to a USD 4.5 to 5.5 billion loss in sales for Nvidia and caused a lot of financial trouble as Chinese firms began turning to alternatives like Huawei. However, the new approval will expectedly boost the company and its supply chain.

Market Reaction and Nvidia Share Price Movement

The news led to renewed activity in both U.S. tech stocks, especially Nvidia, and Hong Kong's Hang Seng Tech Index as well. The broader market saw a slight rise, with the Nasdaq 100 ending the previous trading session at 22,855.63, up 75.03 points, or 0.33%. However, Nvidia shares slipped slightly. The stock closed at USD 164.07, down by 0.85 points or 0.52%, due to some profit booking.
In the Asian market, as of 1 PM IST, the Hang Seng Index (HSI) was trading at 24,476.21, up by 272.89 points, or 1.13%.

Just last week on July 9th, the chipmaker briefly hit a record USD 4 trillion valuation, and it is the first company ever to do so. The rise in the global appetite for artificial intelligence technologies is the main reason behind these achievements by the company. Nvidia first crossed the USD 1 trillion mark in June 2023, even faster than tech giants like Apple and Microsoft, which are the only other U.S. companies valued above USD 3 trillion, as per a Reuters report.