BEIJING — Nvidia, the American tech titan behind some of the world’s most powerful semiconductors, announced Tuesday that it will resume sales of its H20 artificial intelligence chips to China, following a shift in U.S. export licensing policies that had previously blocked such transactions.

The H20 chip, a scaled-down version of Nvidia’s advanced AI processors, was specifically designed to comply with U.S. export restrictions and cater to the Chinese market. However, plans to deliver the chip were halted earlier this year when the Trump-era export controls were further tightened in April, requiring complex licensing procedures.

Now, Nvidia says it has been given assurances by the U.S. government that the necessary licenses will be approved. “Nvidia is filing applications to sell the Nvidia H20 GPU again,” the company said in a statement. “The U.S. government has assured Nvidia that licenses will be granted, and Nvidia hopes to start deliveries soon.”

In a video shared by Chinese state broadcaster CCTV, Nvidia CEO Jensen Huang expressed optimism, saying, “I’m looking forward to shipping H20s very soon. It’s very, very good news.”

Huang, who has visited China three times this year, is expected to attend a major supply chain event on Wednesday, underlining Nvidia’s commitment to engaging with the Chinese tech ecosystem despite rising geopolitical tensions.

Economic and Strategic Implications

The resumption of sales marks a significant boost for Nvidia’s China strategy. Zhang Guobin, founder of semiconductor industry platform eetrend.com, noted that the move would help Nvidia recover revenue losses from the earlier export ban. He also said it would help stabilize the global semiconductor supply chain, which has been under pressure due to escalating trade tensions between Washington and Beijing.

However, Zhang cautioned that the volatile nature of U.S. policy—especially under the Trump-era framework still influencing export control decisions—means companies must remain prepared for sudden regulatory changes.

Meanwhile, Chinese firms continue to accelerate domestic chip innovation, with companies like Huawei pushing for self-reliance in AI and semiconductor development. Beijing, which has criticized U.S. restrictions as unfair trade barriers, maintains its push for technological independence, a core part of President Xi Jinping’s economic vision.

A Delicate Balance

Despite the competitive pressures, Huang has made overtures to Chinese officials about deepening engagement. During an April visit to Beijing, he told Vice Premier He Lifeng that Nvidia viewed China’s economic prospects positively and was committed to supporting U.S.-China trade cooperation, according to state media.

While unconfirmed by the company, reports surfaced in May that Nvidia was planning to establish a research and development center in Shanghai, a move that could further strengthen its ties with China’s AI sector.

China’s Growth Amid Challenges

Official figures released Tuesday show China’s economy grew 5.2% in the second quarter, buoyed in part by stronger-than-expected export performance. Still, sluggish domestic consumption and a prolonged real estate crisis continue to cloud the outlook, reinforcing Beijing’s call for more resilient, self-sustaining growth—particularly in strategic sectors like semiconductors.

As Nvidia prepares to re-enter the Chinese market with its H20 chips, the development marks a rare moment of alignment in a landscape often defined by uncertainty, protectionism, and rapidly shifting tech policy.