By Ginika Igboke
Lawmakers are pressing President Donald Trump over his decision to approve sales of Nvidia H200 artificial intelligence chips to China—processors more advanced than any U.S. export rules have previously allowed for the Chinese market.
Sen. Elizabeth Warren (D-Mass.), ranking member of the Senate Banking, Housing, and Urban Affairs Committee, and Rep. Gregory Meeks (D-N.Y.), ranking member of the House Foreign Affairs Committee, sent a letter on Dec. 22 to Jeffrey Kessler, under secretary for industry and security, seeking detailed information on the move. The committees have oversight authority over export control decisions.
The inquiry follows Trump’s Dec. 8 announcement on Truth Social that his administration would allow Nvidia to sell H200 chips to China, with a 25 percent cut of proceeds paid to the U.S. government. Trump also said other U.S. chipmakers could receive similar approvals. If implemented, it would mark the first time Nvidia’s Hopper-generation chips could be sold to Chinese customers without modification.
Lawmakers said the decision represents a sharp reversal from Trump’s April move to block sales of Nvidia’s H20 chips to China. The H20 was a downgraded version of the H200 designed to comply with export restrictions.
“The H200 is one of the most advanced AI chips on the market, and it is currently used to produce frontier AI systems with military applications,” Warren and Meeks wrote, warning that the policy shift could undermine U.S. national security.
They requested information on any changes to export control rules, whether a government-to-government agreement was signed, the Commerce Department’s assessment of China’s chipmaking capabilities, and details on licenses approved within 48 hours of issuance.
Reuters reported on Dec. 18 that federal agencies have already begun reviewing applications related to H200 chip sales to China.
Several lawmakers have criticized the approval, arguing that it weakens export controls designed to slow China’s military and technological advancement. The H200 chip is significantly more advanced than what China can currently produce domestically, particularly given restrictions that prevent Chinese firms from obtaining cutting-edge semiconductor manufacturing equipment.
Analysts have warned that allowing China access to H200 chips could dramatically narrow the AI computing gap between the two countries. Under previous restrictions, researchers estimated the United States would maintain a substantial lead. The Institute for Progress calculated that without H200 access, the United States would hold 21 to 49 times more AI computing power than China by 2026. That advantage could shrink to as little as 1.3 to four times if sales proceed, though it could widen again if U.S. firms transition to Nvidia’s newer Blackwell chips.
An analysis published after Trump’s announcement by Chris McGuire of the Council on Foreign Relations found that access to H200 chips could potentially triple the growth trajectory of China’s AI computing power. McGuire argued that claims export controls would accelerate Chinese innovation contradict Chinese industry estimates, which projected declining computing power without continued access to Nvidia technology.
While Chinese firms such as Huawei have promoted using larger quantities of less advanced chips, McGuire concluded that this approach cannot close the gap. Even under aggressive assumptions, he wrote, Huawei’s production would remain a small fraction of Nvidia’s output through 2027.
“Huawei is not a threat that justifies loosening controls,” McGuire concluded. “It is evidence that the controls are working.”
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