Nvidia warns that U.S. export bans could cost it billions in China
Midjourney prompted by THE DECODER
Nvidia CEO Jensen Huang said at the ServiceNow conference in Las Vegas that being shut out of the Chinese AI market would be a “tremendous loss.” According to Huang, China could become a $50 billion AI market within two to three years. Access to that market, he argued, would generate revenue, tax income, and jobs in the United States. The comments come after a decision by the Trump administration in April to ban exports of Nvidia’s H20 chips to China without special approval. These chips were specifically designed to comply with previous export regulations. Nvidia now expects a one-time charge of $5.5 billion due to the new restrictions. Huang said the company respects political guidelines and wants to remain flexible. Despite slower recent growth, Nvidia is forecasting a 65 percent jump in revenue for May to $43.1 billion. The stock is down 15 percent so far in 2025.
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