The Trump administration is reportedly contemplating the possibility of permitting Nvidia to market its H200 artificial intelligence chips to China, as per report on Friday. Recent internal discussions regarding the potential shipments of H200 to China have occurred, although a definitive decision has yet to be reached. The deliberations may stay confined within the organization, potentially without leading to formal license approvals.

H200 chips may not match the sophistication of Nvidia’s premier Blackwell series, yet they continue to demonstrate significant capability. The consideration of H200 shipments signifies a notable departure from the Trump administration’s earlier public stances regarding chip export controls and would constitute a substantial concession to Beijing, likely encountering resistance from China hawks in Washington. An approval would significantly alleviate U.S. trade restrictions aimed at curbing China’s AI capabilities.

President Donald Trump had earlier indicated a potential discussion regarding the exports of Nvidia’s most advanced chips with Chinese leader Xi Jinping; however, this subject did not come up in their recent conversations. Treasury Secretary Scott Bessent has suggested that the export of the existing Blackwell generation of chips to China could be feasible once they cease to represent cutting-edge technology, likely within a timeframe of one to two years.