Nvidia lobbies Trump and wins as Congress sidelines stricter AI chip export controls to China

Nvidia lobbies White House and wins loosened AI GPU export control to China -- U.S. lawmakers reportedly reject GAIN AI Act

The U.S. House of Representative on Wednesday rejected a new measure that would require suppliers of popular AI GPUs -- such as AMD or Nvidia -- to prioritize shipments of advanced processors to domestic companies over adversary nations like China, reports Bloomberg citing source familiar with the defense policy bill that the House was considering on Wednesday. The proposal was sidelined after Nvidia's chief executive met President Trump and U.S. lawmakers on Wednesday. If the information is accurate, it represents a policy win for Nvidia as the regulation would have reshaped how advanced accelerators reach China and other sanctioned markets. Yet, keeping in mind China's self-inflicted ban on Nvidia hardware, this is hardly a big deal for now. The sidelined proposal -- known as the Guaranteeing Access and Innovation for National Artificial Intelligence Act of 2025 (GAIN AI Act) -- would have mandated suppliers like AMD or Nvidia to prioritize American customers ahead of buyers in China and other arms-restricted countries. The mechanism was straightforward: to get an export license to ship a batch of advanced products to China or other countries, Nvidia and AMD would need to confirm the following: Supporters tried to attach the proposal to the annual defense bill -- a package that usually passes with few obstacles -- that is expected to be published on Friday. However, a person familiar with the bill told Bloomberg the GAIN AI proposal is not in the current draft, although it could still be added at the last minute. Nvidia argued that the rule would erode U.S. competitiveness rather than secure domestic supply, and argued there was no evidence that American buyers could not get high-end AI silicon on time. This is technically true, as Chinese buyers can only get cut-down versions of Nvidia's Hopper (H20) processors, whereas American clients can get either full-fat Hopper H100 or H200, or the latest Blackwell GPUs. On Wednesday, Donald Trump held talks in Washington with Nvidia chief executive Jensen Huang about U.S. export curbs on advanced AI accelerators, according to a source cited by Reuters. Huang spent the day also meeting members of Congress, where he argued that different AI-related regulations in different states would hold back AI progress. While the exclusion of the GAIN AI Act could be considered a big lobbying win for Nvidia and other hardware suppliers, China's self-imposed import bans on Nvidia's hardware greatly reduces the value of Nvidia's efforts. Yet again, it is better not to have a restriction that is part of a law, so sidelining of the GAIN AI Act could still be important for Nvidia and others. Despite the setback, China hardliners plan to keep pressing for tougher export controls on advanced AI hardware. They are preparing a new proposal -- the so-called Secure and Feasible Exports Act -- that would turn current limits on chip exports to China into permanent law, essentially only allowing American companies to ship cut-down version of their 2022 and 2023 products -- which are on the verge to become largely irrelevant -- to the People's Republic.

Nvidia CEO Jensen Huang talks chip restrictions with Trump, blasts state-by-state AI regulations

Jensen Huang: State-by-state AI regulation would drag industry to a halt Nvidia CEO Jensen Huang said he met with President Donald Trump on Wednesday and that the two men discussed chip export restrictions, as lawmakers consider a proposal to limit exports of advanced artificial intelligence chips to nations like China. "I've said it repeatedly that we support export controls, and that we should ensure that American companies have the best and the most and first," Huang told reporters on Capitol Hill. Lawmakers were considering including the Guaranteeing Access and Innovation for National Artificial Intelligence Act in a major defense package, known as the National Defense Authorization Act. The GAIN AI Act would require chipmakers like Nvidia and Advanced Micro Devices to give U.S. companies first pick on their AI chips before selling them in countries like China. The proposal isn't expected to be part of the NDAA, Bloomberg reported, citing a person familiar with the matter. Huang said it was "wise" that the proposal is being left out of the annual defense policy bill. "The GAIN AI Act is even more detrimental to the United States than the AI Diffusion Act," Huang said. Nvidia's CEO also criticized the idea of establishing a patchwork of state laws regulating AI. The notion of state-by-state regulation has generated pushback from tech companies and spurred the creation of a super PAC called "Leading the Future," which is backed by the AI industry. "State-by-state AI regulation would drag this industry into a halt and it would create a national security concern, as we need to make sure that the United States advances AI technology as quickly as possible," Huang said. "A federal AI regulation is the wisest." Trump last month urged legislators to include a provision in the NDAA that would preempt state AI laws in favor of "one federal standard." But House Majority Leader Steve Scalise (R-LA) told CNBC's Emily Wilkins on Tuesday the provision won't make it into the bill, citing a lack of sufficient support. He and other lawmakers will continue to look for ways to establish a national standard on AI, Scalise added.

Nvidia CEO Jensen Huang visits Republicans as debate over intensifying AI race rages

WASHINGTON (AP) -- Nvidia CEO Jensen Huang met separately with President Donald Trump and Republican senators Wednesday as tech executives work to secure favorable federal policies for the artificial intelligence industry, including the limited sale of Nvidia's highly valued computer chips to U.S. rivals like China. Huang's closed-door meeting with Republicans on the Senate Banking Committee came at a moment of intensifying lobbying, soaring investments and audacious forecasts by major tech companies about AI's potential transformative effects. Huang is among the Silicon Valley executives who warn that any restrictions on the technology will halt its advancement despite mounting concerns among policymakers and the public about AI's potential pitfalls or the ways foreign rivals like China may use American hardware. "I've said repeatedly that we support export control, that we should ensure that American companies have the best and the most and first," Huang told reporters before his meeting at the Capitol. He added that he shared concerns about selling AI chips to China but believed that restrictions haven't slowed Chinese advancement in the AI race. "We need to be able to compete around the world. The one thing we can't do is we can't degrade the chips that we sell to China. They won't accept that. There's a reason why they wouldn't accept that, and so we should offer the most competitive chips we can to the Chinese market," Huang said. Huang also said he'd met with Trump earlier Wednesday and discussed export controls for Nvidia's chips. Huang added that he wished the president "a happy holidays." The Trump administration in May reversed Biden-era restrictions that had prevented Nvidia and other chipmakers from exporting their chips to a wide range of countries. The White House in August also announced an unusual deal that would allow Nvidia and another U.S. chipmaker, Advanced Micro Devices, to sell their chips in the Chinese market but would require the U.S. government to take a 15% cut of the sales. The deal divided lawmakers on Capitol Hill, where there is broad support for controls on AI exports. Members of Congress have generally considered the sale of high-end AI chips to China to be a national security risk. China is the main competitor to the U.S. in the race to develop artificial superintelligence. Lawmakers have also proposed a flurry of bills this year to regulate AI's impact on dozens of industries, though none have become law. Most Republican senators who attended the meeting with Huang declined to discuss their conversations. But a handful described the meeting as positive and productive. "For me, this is a very healthy discussion to have," said Sen. Mike Rounds, a South Dakota Republican. Rounds said lawmakers had a "general discussion" with Huang about the state of AI and said senators were still open to a wide range of policies. Asked whether he believed Nvidia's interests and goals were fully aligned with U.S. national security, Rounds replied: "They currently do not sell chips in China. And they understand that they're an American company. They want to be able to compete around the rest of the world. They'd love to some time be able to compete in China again, but they recognize that export controls are important as well for our own national security." Other Republicans were more skeptical of Huang's message. Sen. John Kennedy, a Louisiana Republican who sits on the upper chamber's Banking Committee, said he skipped the meeting entirely. "I don't consider him to be an objective, credible source about whether we should be selling chips to China," Kennedy told reporters. "He's got more money than the Father, the Son and the Holy Ghost, and he wants even more. I don't blame you for that, but if I'm looking for someone to give me objective advice about whether we should make our technology available to China, he's not it." Some Democrats, shut out from the meeting altogether, expressed frustration at Huang's presence on Capitol Hill. "Evidently, he wants to go lobby Republicans in secret rather than explain himself," said Massachusetts Sen. Elizabeth Warren, the top Democrat on the Senate Banking Committee. Warren added that she wanted Huang to testify in a public congressional hearing and answer "questions about why his company wants to favor Chinese manufacturers over American companies that need access to those high-quality chips."

Nvidia's Jensen Huang meets behind closed doors with Trump, then Republican senators | Fortune

Huang's closed-door meeting with Republicans on the Senate Banking Committee came at a moment of intensifying lobbying, soaring investments and audacious forecasts by major tech companies about AI's potential transformative effects. Huang is among the Silicon Valley executives who warn that any restrictions on the technology will halt its advancement despite mounting concerns among policymakers and the public about AI's potential pitfalls or the ways foreign rivals like China may use American hardware. "I've said repeatedly that we support export control, that we should ensure that American companies have the best and the most and first," Huang told reporters before his meeting on Capitol Hill. He added that he shared concerns about selling AI chips to China but believed that restrictions haven't slowed Chinese advancement in the AI race. "We need to be able to compete around the world. The one thing we can't do is we can't degrade the chips that we sell to China. They won't accept that. There's a reason why they wouldn't accept that, and so we should offer the most competitive chips we can to the Chinese market," Huang said. Huang also said he'd met with Trump earlier Wednesday and discussed export controls for Nvidia's chips. Huang added that he wished the president "a happy holidays." The Trump administration in May reversed Biden-era restrictions that had prevented Nvidia and other chipmakers from exporting their chips to a wide range of countries. The White House in August also announced an unusual deal that would allow Nvidia and another U.S. chipmaker, Advanced Micro Devices, to sell their chips in the Chinese market but would require the U.S. government to take a 15% cut of the sales. The deal divided lawmakers on Capitol Hill, where there is broad support for controls on AI exports. Members of Congress have generally considered the sale of high-end AI chips to China to be a national security risk. China is the main competitor to the U.S. in the race to develop artificial superintelligence. Lawmakers have also proposed a flurry of bills this year to regulate AI's impact on dozens of industries, though none have become law. Most Republican senators who attended the meeting with Huang declined to discuss their conversations. But a handful described the meeting as positive and productive. "For me, this is a very healthy discussion to have," said Sen. Mike Rounds, a South Dakota Republican. Rounds said lawmakers had a "general discussion" with Huang about the state of AI and said senators were still open to a wide range of policies. Asked whether he believed Nvidia's interests and goals were fully aligned with U.S. national security, Rounds replied: "They currently do not sell chips in China. And they understand that they're an American company. They want to be able to compete around the rest of the world. They'd love to some time be able to compete in China again, but they recognize that export controls are important as well for our own national security." Other Republicans were more skeptical of Huang's message. Sen. John Kennedy, a Louisiana Republican who sits on the upper chamber's Banking Committee, said he skipped the meeting entirely. "I don't consider him to be an objective, credible source about whether we should be selling chips to China," Kennedy told reporters. "He's got more money than the Father, the Son and the Holy Ghost, and he wants even more. I don't blame you for that, but if I'm looking for someone to give me objective advice about whether we should make our technology available to China, he's not it." Some Democrats, shut out from the meeting altogether, expressed frustration at Huang's presence on Capitol Hill. "Evidently, he wants to go lobby Republicans in secret rather than explain himself," said Massachusetts Sen. Elizabeth Warren, the top Democrat on the Senate Banking Committee. Warren added that she wanted Huang to testify in a public congressional hearing and answer "questions about why his company wants to favor Chinese manufacturers over American companies that need access to those high-quality chips."

Nvidia CEO Jensen Huang visits Republicans as debate over intensifying AI race rages

WASHINGTON -- WASHINGTON (AP) -- Nvidia CEO Jensen Huang met separately with President Donald Trump and Republican senators Wednesday as tech executives work to secure favorable federal policies for the artificial intelligence industry, including the limited sale of Nvidia's highly valued computer chips to U.S. rivals like China. Huang's closed-door meeting with Republicans on the Senate Banking Committee came at a moment of intensifying lobbying, soaring investments and audacious forecasts by major tech companies about AI's potential transformative effects. Huang is among the Silicon Valley executives who warn that any restrictions on the technology will halt its advancement despite mounting concerns among policymakers and the public about AI's potential pitfalls or the ways foreign rivals like China may use American hardware. "I've said repeatedly that we support export control, that we should ensure that American companies have the best and the most and first," Huang told reporters before his meeting on Capitol Hill. He added that he shared concerns about selling AI chips to China but believed that restrictions haven't slowed Chinese advancement in the AI race. "We need to be able to compete around the world. The one thing we can't do is we can't degrade the chips that we sell to China. They won't accept that. There's a reason why they wouldn't accept that, and so we should offer the most competitive chips we can to the Chinese market," Huang said. Huang also said he'd met with Trump earlier Wednesday and discussed export controls for Nvidia's chips. Huang added that he wished the president "a happy holidays." The Trump administration in May reversed Biden-era restrictions that had prevented Nvidia and other chipmakers from exporting their chips to a wide range of countries. The White House in August also announced an unusual deal that would allow Nvidia and another U.S. chipmaker, Advanced Micro Devices, to sell their chips in the Chinese market but would require the U.S. government to take a 15% cut of the sales. The deal divided lawmakers on Capitol Hill, where there is broad support for controls on AI exports. Members of Congress have generally considered the sale of high-end AI chips to China to be a national security risk. China is the main competitor to the U.S. in the race to develop artificial superintelligence. Lawmakers have also proposed a flurry of bills this year to regulate AI's impact on dozens of industries, though none have become law. Most Republican senators who attended the meeting with Huang declined to discuss their conversations. But a handful described the meeting as positive and productive. "For me, this is a very healthy discussion to have," said Sen. Mike Rounds, a South Dakota Republican. Rounds said lawmakers had a "general discussion" with Huang about the state of AI and said senators were still open to a wide range of policies. Asked whether he believed Nvidia's interests and goals were fully aligned with U.S. national security, Rounds replied: "They currently do not sell chips in China. And they understand that they're an American company. They want to be able to compete around the rest of the world. They'd love to some time be able to compete in China again, but they recognize that export controls are important as well for our own national security." Other Republicans were more skeptical of Huang's message. Sen. John Kennedy, a Louisiana Republican who sits on the upper chamber's Banking Committee, said he skipped the meeting entirely. "I don't consider him to be an objective, credible source about whether we should be selling chips to China," Kennedy told reporters. "He's got more money than the Father, the Son and the Holy Ghost, and he wants even more. I don't blame you for that, but if I'm looking for someone to give me objective advice about whether we should make our technology available to China, he's not it." Some Democrats, shut out from the meeting altogether, expressed frustration at Huang's presence on Capitol Hill. "Evidently, he wants to go lobby Republicans in secret rather than explain himself," said Massachusetts Sen. Elizabeth Warren, the top Democrat on the Senate Banking Committee. Warren added that she wanted Huang to testify in a public congressional hearing and answer "questions about why his company wants to favor Chinese manufacturers over American companies that need access to those high-quality chips."

Trump praises Nvidia CEO Jensen Huang after discussion about export controls

President Trump met with Nvidia CEO Jensen Huang, stating Huang understands the administration's stance on export controls to China. Huang also met with lawmakers, arguing that state-by-state AI regulations would hinder development. He later downplayed concerns about Nvidia chips being smuggled, highlighting their size and cost. U.S. President Donald Trump said on Wednesday he had visited with Nvidia's CEO Jensen Huang and said the chip giant executive was aware of where he stood on export controls. "Smart man," Trump said about Huang when asked about the meeting. Pressed on whether he had made clear to Huang his views on export controls and the types of chips that the company could give to China, Trump said: "He knows." Nvidia did not immediately respond to a Reuters request for comment. Huang's meeting with Trump comes as the administration is considering whether to allow Nvidia to sell its H200 chips, which are one generation behind its current flagship chips, to China. Huang was in the U.S. capital meeting with lawmakers, where he told them that state-by-state U.S. regulations would slow the progress of AI development, he told CNBC. Nvidia had also opposed a separate proposed piece of legislation that would have required it to offer to sell its chips to U.S. customers before obtaining licenses to sell those chips to "countries of concern." Nvidia had argued the bill would restrict global competition in AI markets. Later in the day at an event hosted by the Center for Strategic and International Studies, where Nvidia is a corporate donor, Huang downplayed concerns that Nvidia's chips are being smuggled in large volumes to countries where they are banned. "A GPU for AI data centers, that GPU weighs two tons," Huang said, referring to the firm's graphics processing units. "It has one and a half million parts. It consumes 200,000 watts. It costs $3 million. Every so often somebody says, you know, these GPUs are being smuggled. I really would love to see it - not to mention you have to smuggle enough of them to fill a football field." (You can now subscribe to our Economic Times WhatsApp channel)

Nvidia CEO Huang Blasts Proposed State AI Laws - NVIDIA (NASDAQ:NVDA)

America's escalating chip crackdown on China took center stage this week, drawing sharp warnings from Nvidia Corp (NASDAQ:NVDA) chief Jensen Huang and investors who say U.S. policy could redefine the future of the semiconductor industry. Huang met with President Donald Trump on Wednesday to discuss the high-stakes issue of chip export restrictions, just as Congress debates measures to keep advanced AI technology out of China's hands. While Huang told reporters on Capitol Hill that he supports ensuring American companies have "the best and the most and first," he criticized the proposed "GAIN AI Act," which would legally mandate that priority. Also Read: Nvidia's China Chip Boom Faces Threat As Beijing Pushes For Homegrown AI Huang argued the bill would actually harm the U.S. and expressed relief at reports that lawmakers dropped it from the annual defense spending package, CNBC reported Wednesday. The CEO also took aim at the growing patchwork of individual state AI laws. Huang warned that navigating 50 different regulations would grind the industry to a halt and pose a national security risk, arguing instead for a single federal standard. Although President Trump recently pushed Congress to override state laws with a federal mandate, House Majority Leader Steve Scalise confirmed on Tuesday that the provision lacks the votes to pass this year. China has effectively shut Nvidia out of its semiconductor market, ending years of dominance and cutting the company's AI-chip share "from 95% to 0%," as CEO Jensen Huang put it. Beijing has banned foreign AI chips from new state data-center projects, tightened port checks on semiconductor imports, and accelerated its push to triple domestic AI-chip production by 2026. With stockpiles of Nvidia GPUs and improving local alternatives, Chinese demand has collapsed. Looking Beyond China Huang countered that Nvidia no longer needs China, projecting $3 trillion to $4 trillion in global AI-infrastructure spending by the end of the decade, a bet that booming demand outside China can offset a full market loss. The $4.4 trillion Nvidia stock gained 34% year-to-date, topping the NASDAQ Composite Index's ~22% returns, becoming the biggest company this year. Skepticism from Industry Figures Canadian businessman, investor, and television personality Kevin O'Leary also shared similar skepticism over the sanctions. He warned that tightening U.S. semiconductor sanctions on China could backfire, arguing that restricting Nvidia and Advanced Micro Devices, Inc. (NASDAQ:AMD) chip exports only accelerates Beijing's push for self-reliance. He said the U.S. should instead sell its most advanced AI chips globally to keep foreign developers dependent on American hardware and to maintain long-term technological dominance. The Impact of U.S. Sanctions His comments come as Washington intensifies chip curbs and China shuts Nvidia out of its AI-chip market, moving, as Jensen Huang noted, "from 95% market share to 0%." Beijing's bans on foreign AI chips, stricter port checks, and aggressive domestic production have reduced demand for U.S. semiconductors. Meanwhile, the Trump administration recently blocked Nvidia's scaled-down B30A chip, and major cloud providers backed the Gain AI Act to tighten export controls, despite warnings that over-restricting sales could strengthen Chinese rivals like Huawei. NVDA Price Action: Nvidia shares were up 0.57% at $180.61 during premarket trading on Thursday, according to Benzinga Pro data. Read Next: Nvidia Open-Sources AI That Helps Self-Driving Cars Think Like Humans Photo by jamesonwu1972 via Shutterstock NVDANVIDIA Corp$180.300.40%OverviewAMDAdvanced Micro Devices Inc$217.18-0.19%Market News and Data brought to you by Benzinga APIs

Trump praises Nvidia's Huang after talks on chip export controls

STORY: President Donald Trump on Wednesday praised Nvidia CEO Jensen Huang after a private discussion on chip export controls. "I did with Jensen [Huang], smart man." Trump said that he had given a sense of where he stood on export controls and the types of chips that Nvidia can sell to China. "He knows, he knows very well. He's done an amazing job, Nvidia. Very good." Huang's meeting with Trump comes as the administration considers whether to allow Nvidia to sell its H200 chips to China. Those are one generation behind its current flagship semiconductors. Huang also met lawmakers in Washington, where he told them that state-by-state U.S. regulations would slow down AI development. Nvidia also opposed a proposal that would require it to offer its chips to U.S. customers before obtaining licenses to sell them to "countries of concern." The company argued the bill would restrict global competition in AI markets. Later in the day, at an event hosted by the Center for Strategic and International Studies, Huang downplayed concerns that Nvidia chips are being smuggled in large volumes to countries where they are banned. "A GPU for AI centers, AI data centers. That GPU weighs two tons. It has one and a half million parts. It consumes 200,000 watts. It costs $3 million. Every so often somebody says, you know, 'these GPUs are being smuggled.' I really would love to see it. Not to mention you have to smuggle enough of them to fill a football field full of these things so that you could run it as an AI data center."