Nvidia H200 Chip Sales to China Remain Stalled Despite US Approval

Nvidia’s efforts to sell its advanced H200 artificial intelligence chips in China remain stuck, even after the United States approved several Chinese companies to purchase them. According to people familiar with the matter, around 10 Chinese firms have received approval to buy the chips, but no deliveries have taken place so far.

The delay comes as Nvidia CEO Jensen Huang travels to Beijing alongside US President Donald Trump during a summit with Chinese President Xi Jinping, raising hopes that discussions could help move the stalled technology deal forward.

The approved companies reportedly include Alibaba, Tencent, ByteDance and JD.com. A number of distributors, including Lenovo and Foxconn, were also cleared to sell the chips in China. Under US licensing rules, each approved customer can buy up to 75,000 H200 chips.

Nvidia Is up almost 2% overnight on the H200 CHIP approvel for china according to Blockto market data.

Beijing’s Concerns Slow Progress

Despite approval from Washington, Chinese companies have reportedly stepped back from purchases after receiving guidance from Beijing. Officials are said to be worried that relying on foreign chips could weaken China’s push to build its own domestic AI industry.

The hesitation comes as Chinese firms increasingly invest in homegrown alternatives, including AI chips developed by Huawei. Nvidia previously controlled about 95% of China’s advanced chip market, but tighter export controls have sharply reduced its position.

Strict Rules Complicate Sales

The sales process also faces several legal and security hurdles. US export rules require Chinese buyers to prove the chips will not be used for military purposes and confirm strong security protections.

In addition, a Trump administration arrangement reportedly requires the US to receive 25% of revenue from chip sales, creating extra complications for deliveries and increasing concerns in Beijing about supply chain security.