Nvidia Rally Incoming? CEO Jensen Huang Expects H20 AI Chip Sales To Resume In China After Trump’s Approval

Nvidia Corp. (NVDA) has received the Trump Administration’s nod to sell its China-compliant artificial intelligence (AI) H20 chips in the Asian country, three months after the company disclosed a $5.5 billion charge related to new export curbs put in place by the Trump administration.

In a blog post, Nvidia said CEO Jensen Huang, while providing an update to customers, said the Santa  Clara, California-based company has filed applications to sell the H20 graphic processing units (GPU) again. 

The new curbs put in place by the Trump administration in April banned H20, a China-compliant GPU Nvidia was selling in China to sidestep a curb imposed by the previous Biden administration. In the aftermath of the development, the AI stalwart was considering launching yet another China-compliant chip.

Nvidia said late Monday that the U.S. government has “assured NVIDIA that licenses will be granted, and NVIDIA hopes to start deliveries soon.” 

Huang also announced a new, fully compliant Nvidia RTX Pro GPU, which he said is ideal for “digital twin AI for smart factories and logistics.”

Following the news, Nvidia stock became the top-trending ticker on Stocktwits. Sentiment toward the stock stayed ‘bullish’ (72/100) by late Monday, with the degree of optimism improving from a day ago. The message volume on its stream was at a ‘high’ level.’

A bullish watcher said they would buy the $170 calls at the open. The stock ended Monday’s session down 0.52% at $164.07, off its July 11 record high of $167.89.

Thanks to the stock’s recent record run, the company became the first to top $4 trillion valuation.

Another user predicted a 6%-7% rally on Tuesday.

The Nvidia CEO told reporters in Washington, D.C. that “general-purpose, open-source research and foundation models are the backbone of AI innovation.”

“We believe that every civil model should run best on the U.S. technology stack, encouraging nations worldwide to choose America.” 

In the blog, Nvidia said Huang met with President Donald Trump and U.S. policymakers this month and reaffirmed the company’s “support for the Administration’s effort to create jobs, strengthen domestic AI infrastructure and onshore manufacturing, and ensure that America leads in AI worldwide.”

Huang also discussed with the Chinese government and industrial officials this month regarding how AI will raise productivity and expand opportunity.

In an interview with CNN, Huang told Sunday that the U.S. needs to search for AI developers worldwide to make the American tech stack the global standard, adding that “China is incredible in AI because 50% of the world's AI developers are in China and Chinese.”

Nvidia stock has gained 22.20% for the year-to-date period, outperforming the broader market and the tech sector. In the overnight session, the stock climbed over 3%. 

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