On August 8, 2025, the US commerce department began issuing licenses to NVIDIA to export its h20 chips to China, removing a major obstacle to a critical market.
The move reverses an April ban on h20 sales that had been tailored for China to comply with Biden era AI chip export rules, and it follows NVIDIA filings in July seeking permission to resume shipments.
The restrictions had threatened to slice eight billion dollars from the July quarter sales, and NVIDIA said it was filing license applications and had been assured approval soon. Two sources said Jensen Huang met with President Donald Trump during the week, though NVIDIA declined to comment and The White House did not immediately respond.
It is unclear how many licenses were granted which firms in China will receive h20 units or the value of allowed shipments, and exports of other advanced AI chips remain restricted. The Financial Times first reported licenses being issued and analysts say the reversal highlights tensions between national security controls and commercial pressures while companies like Huawei intensify domestic alternatives. The decision will likely reshape short term revenues for chipmakers and influence diplomatic and trade discussions in the months ahead.