NVDA: Nvidia Breaks Deadlock — Huang Says H20 Chips Are Soon Hitting the Chinese Market

Chip giant’s CEO announced the big news days after meeting with President Trump. Now he’s flying to China to meet with Beijing officials.

🟢 Nvidia Gets the Green Light

• In a surprise twist Tuesday morning, Nvidia NVDA said it expects to resume sales of its powerful H20 AI chip in China — just days after CEO Jensen Huang met with President Trump to plead the case. The stock popped more than 5% ahead of the bell.
• The US government, which had effectively banned such sales back in April by tightening export licensing, has now assured Nvidia that license applications will be approved, the company said in a blog post.
• Nvidia plans to roll out deliveries soon, finally clearing a months-long logjam that had weighed on the chip giant’s China business and forced it to book a $4.5 billion charge last quarter.

💼 The Lobbying Angle

• Behind the scenes, Nvidia’s CEO argued that restricting US companies from selling high-end chips only fuels China’s homegrown rivals, such as Huawei, which could reinvest proceeds in R&D to challenge American dominance.
• Huang told Trump that by letting Nvidia sell its AI tech abroad, US firms can maintain a lead in the global AI arms race, according to people familiar with the high-stakes conversation.
• This approval marks one of the few exceptions in the White House administration’s broader push to restrict exports of AI hardware and sensitive tech to protect national security interests.

🛩️ Beijing Touchdown

• Huang (the world’s busiest man?) is reportedly heading to Beijing this week to meet top Chinese officials, including Premier Li Qiang, aiming to cement Nvidia’s position in a massive market that’s ready to wolf down just about any AI hardware out there.
• Nvidia’s shares have now climbed roughly 20% in 2025, powered by insatiable AI chip demand and big macro tailwinds — all while its market value hovers near the unbelievable $4 trillion.
• The H20 clearance could add fresh fuel to the rally, but investors will watch closely how Beijing responds and whether US-China tech tensions reignite ahead of the August 1 tariff deadline.