China is preparing to tighten controls on access to Nvidia’s advanced H200 artificial intelligence chips, even after the United States signaled approval for their export, adding fresh uncertainty to the future of U.S. semiconductor sales in the Chinese market.
The policy discussions, first reported by the Financial Times, suggest regulators in Beijing are considering limits on how widely the chips can be used by domestic firms, despite Washington’s recent green light.
Beijing weighs limits on Nvidia H200 chips
According to sources familiar with the talks, Chinese regulators are exploring ways to allow only restricted access to the H200 — Nvidia’s second-most advanced AI processor. Any new constraints would introduce another layer of complexity for Nvidia and other American chipmakers seeking to serve China’s fast-growing artificial intelligence sector.
The move follows a policy shift by U.S. President Donald Trump, who announced that exports of the H200 would be permitted, ending months of uncertainty surrounding the chip’s status.
Export approval includes new fee structure
Under the new terms outlined by Trump, H200 exports to China will be allowed with a 25% fee applied to each shipment. The announcement was made via the president’s post on Truth Social earlier this week.
While the approval initially boosted investor sentiment, analysts caution that limited access inside China could significantly blunt the commercial impact of the decision.
U.S. chipmakers still face market restrictions
China has increasingly discouraged domestic companies from relying on American technology, particularly high-end AI processors. This policy direction is widely viewed as a response to earlier U.S. restrictions that blocked the sale of the most powerful AI chips to Chinese buyers.
Those limitations weighed heavily on Nvidia’s growth prospects in one of the world’s largest AI development markets.
Analyst doubts broad impact without wider chip access
Ipek Ozkardeskaya of Swissquote Bank said the H200 approval alone may not significantly strengthen Nvidia’s China business unless exports are also permitted for next-generation platforms such as Blackwell or Rubin.
Chip stocks trim gains after report
Nvidia shares, which had climbed sharply in early trading, pared most of their gains following the report and were last trading modestly higher. Shares of AMD and Intel also gave up earlier advances.
So far this year, Nvidia stock has risen nearly 40%, outperforming the broader market, with the S&P 500 gaining about 16% over the same period.
From Reuters
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