Trump to allow certain Nvidia chip sales to China for 25% U.S. cut

Driving the news: Trump said on Truth Social that he'll allow Nvidia to sell H200 chips — the generation of chips before its current, more-advanced Blackwell lineup — to China, with the U.S. government pocketing a quarter of the revenue.

• He said he would apply "the same approach to AMD, Intel, and other GREAT American Companies."

State of play: It's not dissimilar to a deal from earlier this year in which Nvidia and AMD agreed to give the U.S. 15% of the sales of its less-advanced H20 chip to China in exchange for export licenses.

Threat level: American defense hawks fear that China could use Nvidia chips to advance its military ambitions.

• Trump said Monday that the sales will be subject to "conditions that allow for continued strong National Security."
• The blockade remains in place for Nvidia's current generation of Blackwell chips, which will be replaced in the second half of 2026 by even more advanced Rubin chips.

• Huang said recently he was unsure if China would want the older chips.

What they're saying: "We applaud President Trump's decision to allow America's chip industry to compete to support high paying jobs and manufacturing in America," Nvidia said in a statement. "Offering H200 to approved commercial customers, vetted by the Department of Commerce, strikes a thoughtful balance that is great for America."

Editor's note: This story has been updated with a comment from Nvidia.