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US House Panel Critiques Trump for Easing Nvidia Chip Sales to China

House committee warns that Nvidia's chip sales to China could bolster military capabilities.

July 18, 2025 at 11:26 PM

House China Panel Faults Trump’s Move to Ease Nvidia AI Chip Sales

A US House panel raises concerns over Nvidia's resumed chip sales to China.

US House Panel Critiques Trump for Easing Nvidia Chip Sales to China

The US House Select Committee on China has criticized the Trump administration's recent decision to allow Nvidia Corp. to resume shipments of its H20 artificial intelligence chips to China. Chairman John Moolenaar argues this move could enhance Beijing's military power and its competitive edge in AI technology. In a letter to Commerce Secretary Howard Lutnick, Moolenaar emphasized that the H20 chip is far superior to what China currently produces, potentially giving them a significant boost in AI development.

Key Takeaways

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Nvidia's H20 chip is seen as vital for AI development in China.

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US lawmakers warn about the risks of technology transfer to adversaries.

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The decision highlights tensions over tech exports and national security.

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Trump's policy may have unintended consequences for US-China relations.

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China's AI capabilities could outpace the US if they gain access to H20 chips.

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The debate continues over balancing trade with national security.

"We must not allow US companies to sell these vital artificial intelligence assets to Chinese entities."

Chairman John Moolenaar warns against the risks of exporting advanced technology to China.

"The H20, which is a cost-effective and powerful AI inference chip, far surpasses China’s indigenous capability."

Moolenaar emphasizes the chip's technological superiority and its impact on AI in China.

This decision reflects the ongoing tension between US technology exports and national security concerns. By allowing Nvidia to send advanced chips to China, the Trump administration may inadvertently strengthen a geopolitical rival. This move could reshape AI competition, raising alarms among US lawmakers about the risks of trading crucial technology with a nation perceived as a threat.