The New AI Chip Diplomacy: Navigating the US-China Tech Rivalry Under Trump’s Policy Shift
The semiconductor industry faces new geopolitical challenges as the Trump administration considers easing restrictions on Nvidia’s AI chip exports to China. This potential policy shift could reshape the AI development landscape globally. Trump has indicated openness to allowing Nvidia and AMD to sell advanced chips to China, with a 15% revenue share going to the US government. While some chips are deemed “obsolete,” concerns arise about exporting cutting-edge Blackwell chips. The US maintains strict controls, even embedding trackers in shipments to prevent diversion. Meanwhile, China urges local companies to avoid Nvidia’s H20 processors, citing security concerns. This “Chip War” highlights the ongoing technological rivalry between the US and China, with both nations investing heavily in AI capabilities and domestic chip production.










