Nvidia Hit by New U.S. Export Controls on AI Chips to China, Boosting Local Rivals
37 Sources
[1]
Nvidia blindsided by Trump's curbs in multibillion-dollar blow to China sales
Nvidia has been caught by surprise by Donald Trump's new export controls on its best-selling artificial intelligence chip in China, leaving the chipmaker and its clients to assess the damage caused by the US president's latest salvo in an escalating trade war. The $2.7tn semiconductor giant
[2]
Global chip stocks slide as Nvidia warns of big hit from U.S. export curbs
April 16 (Reuters) - Global chip stocks slumped on Wednesday after Washington curbed exports of an AI chip Nvidia had tailored for China, further cutting off the crucial growth market for semiconductors in a move that will cost the AI pioneer $5.5 billion in charges. Nvidia said the charges it
[3]
US stock futures drop, Nvidia tumbles on new curbs on chip exports to China
April 16 (Reuters) - Wall Street index futures dropped on Wednesday and chip darling Nvidia slumped after the company flagged steep charges from new U.S. curbs on chip exports to China, fuelling worries about the fallout of an escalating trade war. The U.S. Commerce Department late Tuesday issued
[4]
Exclusive: Nvidia kept some China customers in the dark about new US chip clampdown, sources say
SINGAPORE, April 16 (Reuters) - Nvidia (NVDA.O), opens new tab did not warn at least some major customers in advance about new U.S. export rules it was told about a week ago requiring it to obtain licenses to sell its China-focused artificial intelligence chip, according to two sources familiar
[5]
U.S. chip controls will benefit China's Nvidia rivals like Huawei: Analysts
"There are several local Chinese companies that produce chips to compete with Nvidia," said Brady Wang, associate director at Counterpoint Research. As the U.S. tightens controls on Nvidia's sales to China, the country's rising domestic artificial intelligence chipmakers like Huawei stand to
[6]
Nvidia says it follows export laws 'to the letter' a day after AI chip sales to China stopped
Jensen Huang, co-founder and chief executive officer of Nvidia Corp., during the opening ceremony of the Siliconware Precision Industries Co. (SPIL) Tan Ke Plant in Taichung, Taiwan, on Thursday, Jan. 16, 2025. A day after Nvidia revealed it would incur $5.5 billion in costs related to canceled
[7]
Nvidia discloses that U.S. will limit sales of advanced chips to China after all
Nvidia CEO Jensen Huang introduces new products during a keynote session at the SAP Center in San Jose, Calif. on March 18, 2025. Josh Edelson/AFP via Getty Images hide caption Nvidia says the U.S. government is going ahead with export controls that will limit sales to China of one of its most
[8]
Nvidia stock slumps 6% as a U.S. ban on China AI exports means a $5.5 billion hit
The U.S.-China tech war just claimed another high-profile casualty. Nvidia (NVDA), America's third-largest company by market cap, said Wednesday it will take a $5.5 billion charge after the U.S. government moved to block exports of its H20 AI chips to China -- citing national security risks tied
[9]
Analysts warn US could be handing chip market to China
As the Trump administration attempts to choke off exports of strategically important computer chips to China, experts say the effort might well backfire, fueling innovation at Chinese firms that could help them seize the world semiconductor market. "What's actually happening is that the US
[10]
Nvidia stock slips as U.S. curbs backfire, boosting China's chip ambitions
Nvidia (NVDA) stock fell about 3% Monday morning as investors digested growing fallout from the Biden and Trump administrations' efforts to curb the company's chip sales to China. The latest restrictions -- announced last week by the White House -- tighten the noose on Nvidia's ability to sell its
[11]
Nvidia and major chipmakers slump on the stock market - after new China restrictions revealed
The US commerce department said it was "committed to acting on the president's directive to safeguard our national and economic security". Stocks in leading AI chipmakers have slumped after firms said new restrictions on exports to China would cost them billions. Nvidia fell 6.87% - and was at
[12]
Nvidia shares fall after it says US controls on exports of AI chip will cost it $5.5 billion
BANGKOK (AP) -- Shares in computer chip makers slumped in after-hours trading and in Asia after Nvidia said tighter U.S. government controls on exports of computer chips used for artificial intelligence will cost it an extra $5.5 billion. The company, which announced Monday that it will produce
[13]
Nvidia, AMD, and Other Chip Stocks Fall as Trump Curbs Exports to China
Nvidia is expected to report its latest financial results on May 28. Semiconductor stocks sank Wednesday after Nvidia (NVDA) and Advanced Micro Devices (AMD) warned they would take a hit after the Trump administration moved to curb the chipmakers' exports to China. Nvidia and AMD shares tumbled
[14]
Nvidia Stock Furthers Slide on US-China Trade Tiff
Previously, Nvidia said a new licensing requirement for its key H20 semiconductors could cost $5.5 billion in the first quarter. Nvidia (NVDA) shares headed lower for a third straight session Monday on continuing concerns the artificial intelligence (AI) chipmaker could face a major economic hit
[15]
Nasdaq futures, Nvidia slide after new US curbs on chip exports to China
Nasdaq futures led declines on Wednesday and AI-chip heavyweight Nvidia slumped after it flagged steep charges from new U.S. curbs on semiconductor exports to China, the latest flashpoint in trade tensions between the world's two largest economies. The U.S. Commerce Department late on Tuesday
[16]
Nvidia share price crashes today: Why have AI giant stocks fallen on Wednesday?
Nvidia's shares fell 6.5 per cent in premarket trading. Rival chipmaker AMD's shares dropped 6.8 per cent.Nvidia share price on Wednesday tanked, taking Nasdaq decisively lower after the AI giant disclosed a large financial hit from American export restrictions to China. Shares of Nvidia slumped
[17]
ETtech Explainer: How Trump tariffs hit Nvidia's China business, and stock
The US has tightened curbs on export of high-end AI chips to China for the third time, which has exacerbated the pain for semiconductor major Nvidia and its peers amid the Trump tariff-led global uncertainty. As tech stocks lead index routs, we take a deeper look what the barriers could mean for
[18]
US Stock Futures, Nikkei Slip Amid Fresh Nvidia Headwinds: Dollar Continues To Lose Steam - Netflix (NASDAQ:NFLX), American Express (NYSE:AXP)
U.S. stock futures slipped Tuesday night, amid fresh tariff-related uncertainties and headwinds for semiconductors spooking tech stocks, as investors await crucial retail sales data and more prominent earnings this week. The S&P 500 Futures are down 0.88%, trading at 5,380, followed by the
[19]
Nvidia's China Sales Face Setback As H20 Chip Restrictions Catch Key Buyers Off Guard: Reuters - NVIDIA (NASDAQ:NVDA)
On Tuesday, Nvidia Corp NVDA disclosed that the Trump administration informed it on April 9 that its H20 chip would require an export license for sales to China. The chipmaker failed to warn some major customers about new U.S. export rules to help them prepare in advance, Reuters reported, citing
[20]
Nvidia Not Acting In US Interests, Says Chamath Palihapitiya -- Questions, How Alibaba Or DeepSeek Are One Step Ahead - Alibaba Gr Hldgs (NYSE:BABA), NVIDIA (NASDAQ:NVDA)
Chamath Palihapitiya, known as the "SPAC King," has voiced concerns over Nvidia Corporation's NVDA and accused the company of not acting in the best interest of the U.S. What Happened: In an episode of the All-In Podcast that was released over the weekend, Palihapitiya criticized Nvidia for its
[21]
Huawei Prepares For Bulk Shipment Of New Advanced AI Chip As China Seeks Nvidia Alternatives: Report - NVIDIA (NASDAQ:NVDA), Advanced Micro Devices (NASDAQ:AMD)
In the wake of China's search for domestic alternatives to Nvidia's NVDA H20 chip, Huawei Technologies is reportedly preparing to start mass shipments of its advanced 910C artificial intelligence chip to Chinese customers as early as next month. What Happened: The 910C chip from Huawei represents
[22]
Nvidia's Jensen Huang Meets Shanghai Mayor Amid Fresh US Chip Curbs Nvidia's Jensen Huang Meets Shanghai Mayor Amid Fresh US Chip Curbs - NVIDIA (NASDAQ:NVDA)
Nvidia Corp. NVDA CEO Jensen Huang continued his high-level tour in China with a meeting in Shanghai on Friday, following discussions with central government officials in Beijing a day earlier. The visit comes amid tightening U.S. restrictions on chip exports to China, which have created headwinds
[23]
NVIDIA Shares Gutted By 5%+ After China Reportedly Readies Equivalent AI GPU Shipments
NVIDIA shares are down by 5.6% today after a report shared that China's Huawei has started to prepare its new artificial intelligence chip for shipments after the latest round of US sanctions on the country. The Trump administration recently announced that NVIDIA would require a license to sell its
[24]
What's Going On With Nvidia Stock Monday? - NVIDIA (NASDAQ:NVDA)
Feel unsure about the market's next move? Copy trade alerts from Matt Maley -- a Wall Street veteran who consistently finds profits in volatile markets. Claim your 7-day free trial now. Nvidia Corporation NVDA shares are trading lower on Monday after Huawei announced it's preparing a new
[25]
Nvidia Stock Fell Nearly 5% On Monday After Huawei Mass Shipping AI Chips In China Report Surfaced, But Bernstein Analyst Says It Doesn't Matter: 'They Can't Compete Anyway' - NVIDIA (NASDAQ:NVDA)
On Monday, Nvidia Corporation NVDA dropped by 4.51% after a report revealed that Huawei Technologies is ramping up AI chip production, but a Bernstein analyst downplayed the significance, saying the AI chip giant "can't compete" anyway in the Chinese market due to export restrictions. What
[26]
Nvidia Stock Has Fallen Over The Past Three Months: What's Going On? - NVIDIA (NASDAQ:NVDA)
Nvidia Corporation NVDA shares have faced extreme selling pressure over the last three months, down nearly 30% as of Tuesday. Here's what you need to know. What To Know: Yesterday Huawei announced plans to begin shipping its advanced 910C AI chip to customers in China as soon as next month. Huawei
[27]
US Tech In Tariff 'Twilight Zone' Says Dan Ives: Nvidia Chip Restrictions In China, Huawei Steps Into The Void - NVIDIA (NASDAQ:NVDA)
The U.S. tech sector just walked into a geopolitical buzzsaw, and NVIDIA Corp NVDA may be the first big casualty. As trade tensions ratchet up and tariff policy gets more unpredictable, AI leaders such as Nvidia are getting boxed out of China just as competitors like Huawei prepare to
[28]
Analyst Sticks With Nvidia Despite Fallout From China Curbs - NVIDIA (NASDAQ:NVDA), Advanced Micro Devices (NASDAQ:AMD)
Following the H20 effective shipment ban to China on April 15, Nvidia Corp NVDA stock has declined 14%, versus the PHLX Semiconductor Sector's 8% and the S&P 500's 4%. BofA Securities analyst Vivek Arya noted four key concerns pressuring the stock. They included China sales, AI Diffusion Rules,
[29]
Nvidia Says It Follows US Government Instructions On What It Can Sell And Where Amid Trade War Escalation With China - NVIDIA (NASDAQ:NVDA)
On Wednesday, Nvidia Corporation NVDA responded to a national security investigation, defending its compliance with U.S. export rules following the escalated restrictions on AI chip sales to China. What Happened: In a statement issued on Wednesday, the company addressed a House Select Committee's
[30]
Nvidia Just Lost a $5.5 Billion Opportunity. This Fast-Growing Tech Stock Could Scoop It Up | The Motley Fool
Nvidia (NASDAQ: NVDA) just became the latest company to get hit by the trade war. On Wednesday, the stock tumbled after it announced that it would take a charge of up to $5.5 billion in the first quarter due to a new restriction on exports of its H20 chips to China. Those chips are less powerful
[31]
Nvidia Stock Falls on Export Control Warning. Why This Could Be a Great Buying Opportunity. | The Motley Fool
Shares of Nvidia (NVDA 2.10%) tumbled after the company revealed that it will incur a $5.5 billion charge in the first quarter related to its H2O graphics processing units (GPUs) due to new export restrictions on the sale of its chips to countries like China. Nvidia's stock has had a tough start to
[32]
World shares fall as Nvidia, other tech companies are walloped by U.S. controls on AI chips
BANGKOK -- World shares were mostly lower Wednesday as Nvidia and other technology companies were walloped by tighter U.S. controls on exports of advanced computer chips used for artificial intelligence. The future for the S&P 500 skidded 1.2% while that for the Dow Jones Industrial Average lost
[33]
US stocks slump as chipmaker sounds alarm on $5.5B charge amid new...
US stocks opened in the red on Wednesday morning after the Commerce Department unveiled new restrictions on popular chip exports to China - and Nvidia warned it could cost the chipmaker billions of dollars. The Dow Jones Industrial Average plunged 194 points, or 0.5%, shortly after the regular
[34]
China internet stocks, chipmakers sink as Nvidia flags more US trade controls By Investing.com
Investing.com-- China's biggest internet stocks weakened on Wednesday, leading losses across broader Asian tech after AI darling Nvidia flagged a steep impairment cost from stricter U.S. export controls. China's BAT trio- Baidu Inc (HK:9888) (NASDAQ:BIDU), Alibaba (HK:9988) (NYSE:BABA), and
[35]
Tech stocks slide after Nvidia warns of $5.5 bln charge over China export curbs By Investing.com
Investing.com-- Major technology stocks and chipmakers declined on Tuesday evening after NVIDIA Corporation (NASDAQ:NVDA) said it would incur a $5.5 billion charge in its fiscal first quarter due to new U.S. export restrictions on its H20 artificial intelligence chips to China. The H20, designed
[36]
Tech shares dip as Nvidia says controls on AI chip exports will cost it billions | BreakingNews.ie
Shares in computer chipmakers slumped on Wednesday after Nvidia said tighter US government controls on exports of computer chips used for artificial intelligence will cost it an extra 5.5 billion dollars (£4.15 billion). The company, which announced on Monday that it will produce its artificial
[37]
Tech Slides on Chinese Nvidia Restrictions - Tech Roundup
Shares of technology companies slid after a warning from one major artificial-intelligence firm about trade-war impact. Nvidia said it's anticipating a charge of up to $5.5 billion tied to exporting its AI chips to China, according to a regulatory filing from the semiconductor company. Nvidia also
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Nvidia faces a $5.5 billion charge due to new U.S. export restrictions on its AI chips to China, potentially benefiting Chinese competitors like Huawei.
U.S. Tightens Export Controls on Nvidia's AI Chips
The U.S. Commerce Department has implemented new export licensing requirements for Nvidia's H20 and AMD's MI308 artificial intelligence chips to China
2
. This move, part of Washington's ongoing efforts to limit China's access to advanced semiconductors, has caught Nvidia off guard and is expected to have significant repercussions for the company and the global chip industry1
2
.Nvidia's Financial Impact and Market Reaction
Nvidia disclosed a $5.5 billion charge related to the new U.S. controls on its sales to China
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. The company's shares fell 5% in premarket trading, with other chip stocks like AMD, Micron Technology, and Broadcom also experiencing declines2
3
. Industry insiders believe the actual impact on Nvidia's revenue could exceed $10 billion1
.Chinese Market and Customer Relations
China remains a crucial revenue source for Nvidia, accounting for more than 13% of its sales, or approximately $17 billion, in its last fiscal year
2
. The company had secured $18 billion in H20 orders from Chinese customers since the start of the year4
. Major Chinese cloud companies were reportedly unaware of the impending restrictions and were still anticipating H20 deliveries by year-end4
.Impact on Global Chip Industry
The new export controls have led to a slump in global chip stocks
2
. ASML, the world's largest supplier of chip-making equipment, warned that tariffs were adding uncertainty to its outlook for 2025 and 20262
. The restrictions are seen as the latest escalation in trade tensions between the U.S. and China, fueling concerns about the impact on businesses and economic growth3
.Related Stories
Potential Beneficiaries in China
As Nvidia faces challenges in the Chinese market, local AI chipmakers stand to benefit. Analysts suggest that companies like Huawei and Cambricon Technologies could see increased demand for their GPUs
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. Brady Wang, associate director at Counterpoint Research, noted that these local competitors now have greater impetus and opportunity to grow and improve their solutions5
.Broader Implications and Market Volatility
The new export controls have reignited worries about the impact of shifting U.S. trade policies on consumption and economic growth. This uncertainty has led to increased volatility in financial markets, with Wall Street's "fear gauge," the CBOE volatility index, ticking up
3
. Investors are closely monitoring the situation and awaiting guidance from Federal Reserve Chair Jerome Powell on potential responses to these developments3
.References
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