Nvidia had expected more than 1 million orders from Chinese clients, the report said, adding that its suppliers had been operating around the clock to prepare for shipping as early as March. (File photo)
US President Donald Trump has said he will allow American chipmaker Nvidia to sell a more advanced type of artificial intelligence (AI) chip to “approved customers” in China, the Associated Press (AP) reported on Monday.
The decision marks a significant shift in Washington’s approach to tech exports to China. For months, US officials have debated how to limit China’s access to cutting-edge AI tools while still supporting American companies that dominate the global semiconductor market.
Sales allowed under strict vetting
Trump told AP that Nvidia may sell the chips only after the US Commerce Department screens and approves the buyers. The approval process is aimed at preventing the chips from reaching Chinese military-linked or sensitive sectors.
Nvidia welcomed the decision. In a statement cited by AP, the company said the policy would support domestic manufacturing and help maintain the leadership of US firms in the AI sector. It added that Commerce Department vetting would “strike a thoughtful balance” between economic interests and national security.
The move has drawn opposition from a group of Democratic senators, who argue that selling advanced chips to China could strengthen Beijing’s ability to compete directly with the United States in AI development. They have urged the administration to reconsider, warning that any easing of restrictions risks eroding America’s technological edge.
Supporters of the decision say the US cannot build a strong AI ecosystem without allowing its companies to access major global markets, including China. The White House has not commented further on how the vetting system will work or what categories of buyers may be approved.
Trump said the goal is to protect US security while ensuring American companies “are able to stay competitive”, AP reported.
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Nvidia had expected more than 1 million orders from Chinese clients, the report said, adding that its suppliers had been operating around the clock to prepare for shipping as early as March. (File photo) 
