US security review halts NVIDIA AI chip sales to China
04 Feb 2026
NVIDIA's H200 artificial intelligence (AI) chip sales to China are still on hold, nearly two months after the US Commerce Department eased export curbs.
The delay is due to a national security review by the United States, Financial Times reported.
Chinese customers are waiting for clarity on license approvals and their conditions before placing orders for these advanced chips.
US departments involved in reviewing licenses
Export regulations
In January, the US Commerce Department relaxed export restrictions on the H200 for China. However, it mandated that license applications be vetted by the State, Defense, and Energy departments of the US.
The FT report said that while the Commerce Department has completed its review, the State Department is advocating for stricter measures to prevent China from potentially misusing these chips in a manner detrimental to US national security.
China has given initial approval for H200 imports
Future prospects
NVIDIA CEO Jensen Huang expressed optimism last week about the possibility of selling their advanced H200 AI chip in China. He revealed that the license for this sale is currently being finalized.
Last month, Reuters reported that China had given its initial approval for importing NVIDIA's H200 AI chips, signaling a change in stance as it tries to balance its AI requirements with promoting domestic production.
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