In Taiwan, the manager of the Californian company highlighted the unexpected impact of American restrictions, evoking a significant commercial decline in China.
Since 2022, the United States has multiplied the export restrictions of electronic components to China. During a trip to Taiwan, Jensen Huang took a position on the consequences of these measures for his group and for the World Ecosystem of IA fleas.
American measures with unexpected effects
On May 21, at the Computex show in Taiwan, the director general of Nvidia said that American semiconductor export controls to China had not achieved their initial objective. “I think that, on the whole, export control was a failure,” said Jensen Huang in front of the press. He considered that these restrictions had strengthened the capacities of Chinese manufacturers, by stimulating their development with the support of local authorities.
According to the words reported by Le Figaro, the American official stressed that Chinese companies were “very talented and very determined”, and that the restrictions had given them “the state of mind, energy and the support of the government to accelerate their development”.
In parallel, Jensen Huang recognized a significant drop in Nvidia’s market share in China. This would have increased from 95% to 50% since the start of Joe Biden’s mandate, according to figures relayed by Investing.com.
Evolutionary prohibitions between two administrations
The first limitations on the IA fleas were set up by the Biden administration from 2022. They aimed to prevent the use of American semiconductors in areas deemed sensitive, such as supercomputer or the development of artificial intelligence models. In January 2025, an extension of these restrictions had been announced. She had to come into force in mid-May, a few days after the transfer of power to Donald Trump.
Finally, these new measures were canceled by the Commerce Department, which replaced them with a series of public recommendations. These warn against the potential use of American components in the development of AI Chinese technologies.
China denounced this approach, which it assimilates to an attempt at “intimidation”, and announced “firm measures” in response.
Nvidia adjusts her presence in China in the face of new rules
The Californian company first tried to circumvent American prohibitions by offering a less efficient model: the H20 chip. This limited component, accepted by regulators at first, was used by many Chinese companies. But the latest regulatory developments are now prohibiting its export.
Nvidia would prepare a new chip in accordance with American requirements. The group has also confirmed the creation of a research and development center in Shanghai, without detailing the calendar or the means committed.
At the same time, several Chinese companies, including Huawei and Semiconductor Manufacturing International Corp, were identified as direct beneficiaries of these changes. Beijing also continues to invest massively in its national flea production capacities.
