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    Home » Sections » Electronics and hardware » Nvidia takes centre stage in US-China trade chess match

    Nvidia takes centre stage in US-China trade chess match

    Beijing has long been irked by Washington's export controls that ban Nvidia from selling its most advanced AI chips to China.
    By Agency Staff29 October 2025
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    Nvidia takes centre stage in US-China trade chess match - Jensen Huang
    Nvidia CEO Jensen Huang speaks to journalists in Beijing in July. Florence Lo/Reuters

    US President Donald Trump said on Wednesday he will speak to Chinese President Xi Jinping about Nvidia’s state-of-the-art Blackwell AI chips at their expected meeting on Thursday.

    Sales of the US firm’s high-end AI chips to China have been a key sticking point in protracted trade talks between the world’s two largest economies this year.

    Beijing has long been irked by Washington’s export controls that ban Nvidia from selling its most advanced AI chips to China. The US has justified these restrictions by alleging the Chinese military would use the chips to increase its capabilities.

    US administrations have swung back and forth on allowing Nvidia’s advanced chips into China

    Speaking to reporters aboard Air Force One en route to Gyeongju, South Korea, Trump praised Nvidia’s Blackwell as the “super-duper chip” and said he might speak to Xi about them, without elaborating.

    “I think we may be talking about that with President Xi,” Trump said, adding he was “very optimistic” about his meeting with Xi, the first since he returned to the White House.

    Reuters in May reported that Nvidia was preparing a new chip for China that was a scaled-down variant of its most recent state-of-the-art AI Blackwell chips at a significantly lower cost.

    Nvidia CEO Jesen Huang said on Tuesday his company had not applied for US export licences to send its newest chips to China because of the Chinese position.

    Vacillating

    “They’ve made it very clear that they don’t want Nvidia to be there right now,” he said at a news conference during the company’s developers event, adding it needs access to the China market to fund U.S.-based research and development. “I hope that will change in the future because I think China is a very important market.”

    US administrations have swung back and forth on allowing Nvidia’s advanced chips into China, vacillating on whether access would make China more dependent on the US technology or give its military and tech companies a competitive boost.

    Read: Nvidia and Nokia set sights on 6G

    Beijing has put pressure on Chinese firms to buy and further develop domestic chips in response to US export controls targeting the sale of Nvidia chips to China. Despite that pressure, Chinese developers still want Nvidia’s chips due to constrained supplies of products from domestic rivals such as Huawei.  — Trevor Hunnicutt, (c) 2025 Reuters

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