China will open its market to AI chips from US, Nvidia’s CEO Jensen Huang says

Nvidia CEO Jensen Huang suggested May 18 that China could eventually allow imports of US AI chips, signaling a potential shift in Beijing’s restrictive policies. Speaking to Bloomberg Television, Huang noted that Chinese authorities must decide how much of their local market to protect, implying gradual openness over time. His comments followed his inclusion as a last-minute addition to Trump’s high-stakes delegation for meetings with Chinese leader Xi Jinping in Beijing, where AI chip sales were reportedly discussed indirectly. Trump had previously approved Nvidia’s H200 AI chip exports to China in December, easing earlier US restrictions, though Beijing has yet to authorize purchases. The delay stems from China’s push for self-sufficiency in semiconductors and support for domestic firms like Huawei Technologies. Huang confirmed that while Nvidia received US export licenses and orders from Chinese customers, those purchases were later canceled due to regulatory hurdles. Despite the setback, Huang reiterated China’s significance as a $50 billion market opportunity for Nvidia, though the company currently reports zero AI chip sales there. He also emphasized Taiwan’s critical role in global semiconductor manufacturing, noting that demand outstrips even US domestic production efforts. Huang stressed the need for supply chain diversity and resilience amid soaring AI-driven demand, which is straining suppliers, particularly memory chip manufacturers. The topic resurfaced during Trump’s May 15 return flight, where he mentioned Nvidia’s H200 chips in discussions with Chinese leaders, though no concrete approvals were announced. Huang’s earlier March statement claimed Nvidia had secured export clearance for ‘many customers’ in China, but internal reports indicated those deals stalled before completion. The company’s May 20 earnings call will likely address investor concerns over China’s market access and AI chip shipment prospects.