China Targets Nvidia AI Chips at Customs, Raising Concerns for Sales
China has started tightening inspections of Nvidia’s AI chips, including H100 and RTX Pro 6000D, at its major ports. The goal is to control the import of these U.S.-made processors, which have export restrictions.
Even though Nvidia’s chips follow U.S. rules for China, Beijing is pushing local companies to use domestic alternatives. The Chinese government sees relying on foreign technology as a security concern. Nvidia has seen limited demand in China since it was allowed to resume sales earlier this year.
China is also investing heavily in local chipmakers like Huawei, Cambricon Technologies, and SMIC to strengthen its homegrown technology. This makes the market more competitive for Nvidia.
The situation creates challenges for Nvidia as it tries to balance U.S. export rules with China’s regulations. China is still an important market, but the stricter controls could affect Nvidia’s business there.
Impact :
Nvidia’s sales in China might slow down due to stricter customs checks, and the company could face pressure on revenue growth in the region.