Nvidia's CEO Addresses China's Semiconductor Market Amid US Restrictions

Jensen Huang, the CEO of Nvidia, stated on Wednesday that the company is committed to catering to China's extensive semiconductor market, following the recent approval from the United States that allows them to sell chips in the country. Last week, Nvidia reached a remarkable milestone as the first firm to achieve a market value of US$4 trillion, underscoring Wall Street's strong belief in the potential of artificial intelligence to reshape the global economy.

Nvidia's valuation has now surpassed the GDP of major economies, including France, Britain, and India, reflecting investor optimism about the burgeoning era of robotics and automation driven by AI. However, the company faces challenges due to ongoing tensions between the U.S. and China over semiconductor supremacy, which is essential for producing various technologies, including smartphones, renewable energy equipment, and military assets.

In a notable development, Nvidia announced that it would resume sales of its H20 AI chips to China after the U.S. government lifted certain licensing restrictions that had previously obstructed exports. Huang visited Beijing for the China International Supply Chain Expo, where discussions centered around China’s efforts to project itself as a proponent of free trade amidst the tariff controversies initiated by the previous U.S. administration.

During his visit, Huang conveyed that Chinese officials, including Vice Premier He Lifeng, assured him of China's commitment to remaining open and stable for foreign investments. He highlighted their interest in Nvidia's continued investment in China and affirmed the company's dedication to meeting the country's significant demand for microchips that play a crucial role in mobile technology and electric vehicles.