NVIDIA's Jensen Huang visited China a day after the Trump administration imposed restrictions on the H20 AI GPU, showing how important the market is for them.
NVIDIA's CEO Visit To China Comes After The New US Restrictions; Calls China as "An Important Market"
Well, it seems like NVIDIA has met a massive hurdle in its AI business, as with the Trump administration implementing new restrictions, Team Green has few options left. According to Chinese state media CCTV, Jensen visited China and reportedly met with Ren Hongbin, head of the China Council for the Promotion of International Trade. The primary aim was likely to show NVIDIA's commitment to the Chinese AI market, and the visit appears to be a "rushed out" one. Jensen reaffirmed that Team Green won't halt its business operations in China.
We've grown up in China, in fact. And China has watched us grow in the last 30 years. It's a very important market for us
- NVIDIA's CEO via CCTV
For those unaware, the Trump adminstration has now barred NVIDIA from selling their H20 AI accelerators in China, which translates into a massive financial loss for the company. In a previous coverage, we discussed how NVIDIA is set to earn around $16 billion from selling its H20 AI GPUs alone in China, and the demand was set to see a rapid rise, amid the ongoing AI frenzy in China. Now that an export restriction has been established for NVIDIA, the company could lose its hold over the regional markets.
Interestingly, NVIDIA's CEO was accompanied by DeepSeek's founder Liang Wenfeng, who is said to be a primary customer of Team Green and has played a massive role in stirring up the demand for the company's AI hardware in recent times. Jensen's meeting with Chinese officials makes it clear that Team Green won't step back from doing business in the nation despite the regulations and hurdles coming in their way from the Trump administration.
But Team Green has few cards left to play, given that now the firm has to introduce a new variant in the nation that will comply with the new trade regulations. To top it off, NVIDIA faces tough competition from the likes of Huawei, who is said to have developed an AI cluster that will likely outperform Team Green's cutting-edge GB200 NVL72 systems. So, NVIDIA needs to come up with an alternative soon.
