In recent weeks, China approved the world's first commercial brain-computer interface medical device and unveiled a five-ton class electric vertical takeoff and landing aircraft that has already completed a public flight.
Nvidia has stopped production of chips intended for the Chinese market, betting that regulatory barriers in Washington and Beijing will continue to limit sales to China. The theory was that, because the H200 chips were less powerful than NVIDIA's cutting-edge chips, China could not use them to supercharge its AI advances.
U.S. regulators have allegedly drafted rules that would require U.S. government approval to ship AI chips anywhere outside the U.S., according to Bloomberg, citing sources. This would give the U.S. significantly more control over companies like AMD and Nvidia.
In what appears to be a case of diplomatic mind games in action, one day after the US government issued a regulation clearing the way for Nvidia to sell its H200 artificial intelligence processors to Chinese companies on a case-by-case basis, a published report has revealed Chinese custom officers have been told not to let them into the country. The ruling announced Monday by the US commerce department's Bureau of Industry and Security (BIS),
The US government has introduced new import tariffs on advanced AI chips from Nvidia and AMD, with the aim of channelling part of the proceeds from sales to China directly into the US treasury. According to the Financial Times, the measure is part of President Donald Trump's broader trade and industrial policy, which explicitly intertwines economic transactions and national security.
While small amounts of H200 products for China based customers were approved by the US government, we have yet to generate any revenue, and we do not know whether any imports will be allowed into China. That's a reference to the fact that while Washington is happy for H200 sales, Beijing has not granted its blessing.