NVIDIA CEO Seeks Calm As US-China Tensions Hit Chip Sales

Caught in the crossfire of US-China tensions, Nvidia faces chip bans in Beijing as CEO Jensen Huang urges patience while lobbying intensifies in Washington.

NVIDIA President and CEO Jensen Huang said Washington and Beijing must resolve “larger agendas” as the company faces new hurdles in China, one of its key markets. Speaking in London on Wednesday, Huang acknowledged that tighter regulations in Beijing have added fresh strain to the company’s business.

The remarks followed a Financial Times report claiming China’s cyberspace regulator has instructed major technology firms, including Alibaba and ByteDance, to stop testing and purchasing NVIDIA’s RTX Pro 6000D chips. Orders already placed are also being cancelled, according to the report.

The move escalates restrictions first imposed on NVIDIA’s H20 chip earlier this year. Beijing’s latest order signals a more assertive stance as both governments tighten control over advanced semiconductors amid an intensifying trade conflict.

NVIDIA’s shares, valued at more than $4.2 trillion, dropped 2.6% on Wednesday after the news. China accounted for about 13% of the company’s revenue in 2024, making it one of its most important markets outside the United States.

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Huang expressed disappointment but maintained a diplomatic tone, noting that NVIDIA could only serve a market if a country allowed it to do so. He added that China and the United States had broader issues to resolve and said he was willing to be patient.

The company is also facing a preliminary anti-monopoly probe in China. Meanwhile, in Washington, NVIDIA has sharply increased its lobbying activity, spending nearly $1.9 million in the first half of 2025, almost triple its expenditure in 2024.

Despite an August deal brokered by former US President Donald Trump, which allowed limited sales of NVIDIA’s H20 chips in exchange for a 15% levy, shipments have yet to proceed.

Analysts warn that the chipmaker, which dominates the global AI hardware market, remains caught between two governments with competing technology ambitions.

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Shubha Mitra
Shubha Mitra
Shubha Mitra is an Assistant Editor at EFY, keenly interested in policies and developments shaping the electronics business.

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