In a controversial development reflecting ongoing trade tensions between the United States and China, the British newspaper "Financial Times" reported that Beijing plans to impose strict restrictions on access to advanced "H200" chips from American Nvidia, despite U.S. President Donald Trump's announcement last Monday of lifting the ban on exporting these chips to China for fees reaching 25% of their value. According to sources familiar with the matter, Chinese regulators are discussing mechanisms to allow limited access to these chips, requiring official approval and justification for the inadequacy of local alternatives, such as Huawei chips or other Chinese products.
#### Historical and Commercial Context:
This decision comes amid a long-standing trade war between Washington and Beijing, where the United States has imposed strict restrictions on the export of advanced AI chips to China since President Joe Biden's administration, aimed at limiting its military and civilian technological advancement. The H200 chips, which are the second strongest generation in Nvidia's AI lineup, were previously banned, negatively affecting Nvidia's revenues in the Chinese market, which represents one of the largest chip markets globally. In an attempt to reconcile security and economic considerations, Trump announced a partial lifting of the ban, indicating that he informed Chinese President Xi Jinping of the decision while maintaining restrictions on newer chips like Blackwell or Rubin. Nvidia welcomed the decision, considering it a "thoughtful balance" that supports American jobs and local manufacturing, provided customers are vetted by the U.S. Department of Commerce.
#### Details of Chinese Restrictions:
Now, it seems that China is reciprocating, maintaining a policy of "self-sufficiency" in the semiconductor field, as part of its national strategy "Made in China 2025." According to the report, Chinese companies will be required to submit formal requests for these chips, proving that local options are insufficient for their purposes, which adds an additional layer of bureaucratic obstacles. This approach is not new; China had previously rejected the import of a less powerful version of the chips (H20) earlier, allowing local companies like Huawei to advance in the AI market without direct American competition. This move is believed to aim at enhancing local innovation, as Chinese companies like DeepSeek and Alibaba have produced world-class AI models despite previous restrictions.
#### Potential Impacts:
- On Nvidia and American Companies: This decision may limit the economic benefit of Trump's decision, as the success of exports depends on China’s acceptance. Analysts like Ipek Ozkardeskaya from Swissquote Bank see that the impact is limited unless the export of newer chips is allowed, which may push Nvidia to seek alternative markets or develop customized versions for China.
- On Geopolitical Tensions: The news reflects the failure of previous American reconciliation attempts, as U.S. restrictions have accelerated Chinese efforts for technological independence, including the development of alternative chips. However, it may open the door for broader negotiations, especially if the American tariff (25%) leads to additional revenues for Washington's budget.
- On the Global Artificial Intelligence Market: While China maintains its control over the domestic market, dependence on American technology remains strong in some sectors, which could lead to a slowdown in global innovation if the escalation continues.
In short, this news is evidence that the technological conflict between the two powers will not end easily, as each party seeks to maintain its superiority without conceding its strategic interests. As developments continue, the question remains open: Will these restrictions be temporary, or are they a step towards complete technological separation?
