Nvidia logo and Chinese flag are seen in this illustration taken Aug. 27, 2025.Dado Ruvic | ReutersBEIJING — U.S. President Donald Trump’s move to allow Nvidia to ship a more advanced artificial intelligence chip to China will significantly boost Beijing’s tech capabilities, according to analysts.That signals a shift in policy as the U.S., over the past several years, has ramped up restrictions on Chinese access to advanced semiconductors. Though the curbs have not kept Chinese companies such as DeepSeek from finding ways to build AI models that rival their U.S. peers, often at lower operating costs.”Compute is our main advantage,” Rush Doshi, assistant professor at Georgetown University, said on social media platform X, noting that China already has an edge over the U.S. in electrical power, engineers and other areas. “By giving this up we increase the odds the world runs on Chinese AI,” said Doshi, who was a deputy senior director for China and Taiwan affairs with the National Security Council under the Biden administration.Trump’son Monday said in a post on his Truth Social platform that Nvidia can ship a more advanced chip called the H200 to “approved customers in China” and other countries — on condition the U.S. gets a 25% cut. That’s up from the 15% rate agreed to in the summer. He noted that Nvidia’s more advanced Blackwell and Rubin chips were not part of the China deal. “The Biden administration forced our Great Companies to spend BILLIONS OF DOLLARS building “degraded” products that nobody wanted, a terrible idea that slowed innovation, and hurt the American Worker,” Trump said.Nvidia had created a less powerful chip called the H20 to comply with U.S. rules, but had to halt shipments to China in April. “This move is giving China a bunch of advanced AI compute it wouldn’t otherwise have,” said Tim Fist, director of emergi …
