The U.S. has finally announced its plan to allow Nvidia chip shipments to China.
President Donald Trump said on Monday, December 8, 2025, that the U.S. will allow tech giant Nvidia to ship its H200 artificial intelligence chips to “approved customers” in China and elsewhere.
The U.S. Commerce Department is also finalizing deal to allow H200 chips to be sold to China as strict Biden-era restrictions relaxed,reports Reuters.
Trump confirmed that “The Department of Commerce is finalizing the details, and the same approach will apply to AMD, Intel, and other GREAT American Companies.”
“The policy will support American jobs, strengthen U.S. manufacturing, and benefit American taxpayers,” he added.
Trump share on Truth Social, “Chinese President Xi Jinping “responded positively” to the proposal.
The decision appears to settle a U.S. debate about whether Nvidia and rivals should maintain their global lead in AI chips by selling to China or withhold the exports.
Though Beijing has told companies not to use U.S. technology, leaving it unclear whether Trump's decision would lead to new sales.
Nvidia shares rose 2% in after-hours trading after Trump made the announcement on Truth Social, following a 3% rise during the day on a report by Semafor.
Both Nvidia and chip rival Advanced Micro Devices AMD, agreed in August to share 15% of the revenue from chip sales with the U.S. government.
Trump informed that the fee to be paid to the U.S. government was 25%, and a White House official confirmed he meant 25%, higher than the 15% proposed in August.
According to a report released on Sunday by the non-partisan think tank, the Institute for Progress IFP, the H200 would be almost six times as powerful as the H20, the most advanced AI semiconductor that can legally be exported to China, after the Trump administration reversed its short-lived ban on such sales this year.
"Offering H200 to approved commercial customers, vetted by the Department of Commerce, strikes a thoughtful balance that is great for America," Nvidia said in a statement.
