Nvidia CEO urged to avoid China firms undermining US chip controls

Senators ask Jensen Huang to abstain from meeting companies that are working with the military or intelligence bodies

Nvidia CEO Jensen Huang and US President Donald Trump shake hands at an 'Investing in America' event in Washington, DC, US. Picture: REUTERS/LEAH MILLS/FILE
Nvidia CEO Jensen Huang and US President Donald Trump shake hands at an 'Investing in America' event in Washington, DC, US. Picture: REUTERS/LEAH MILLS/FILE

SAN FRANCISCO — A bipartisan pair of US senators sent a letter to Nvidia CEO Jensen Huang on Friday about an upcoming trip to China, warning the CEO to refrain from meeting with companies that are suspected of undermining US chip export controls.

The letter from Republican Senator Jim Banks and Democratic Senator Elizabeth Warren asked Huang to also abstain from meeting with representatives of companies that are working with the People’s Republic of China’s (PRC’s) military or intelligence bodies. The senators also asked Huang to refrain from meeting with entities named on the US restricted export list.

“We are worried that your trip to the PRC could legitimise companies that co-operate closely with the Chinese military or involve discussing exploitable gaps in US export controls,” the senators wrote. Huang planned to visit China on Friday.

An Nvidia spokesperson said, “American wins” when its technology sets “the global standard,” and that China has one of the largest bodies of software developers in the world. AI software “should run best on the US technology stack, encouraging nations worldwide to choose America,” the spokesperson said. In May at the Computex trade show in Taipei, Huang praised President Donald Trump’s decision to scrap some AI chip export controls and described the previous diffusion rules as a failure.

US restrictions in April on AI chips Nvidia modified to comply with export controls to China would reduce Nvidia’s revenue by $15bn, the CEO said.

The hardware necessary to power advanced AI is now subject to a bipartisan consensus related to the free export of such hardware, the senators wrote. Advanced AI hardware could “accelerate the PRC’s effort to modernise its military,” the letter reads. US legislators have grown increasingly concerned about efforts to circumvent export controls to China and proposed a law that would force AI chip companies to verify the location of their products. Last month, Reuters reported that a senior US official said AI firm DeepSeek is aiding China’s military and intelligence operations, and sought to use shell companies to circumvent US AI chip export controls to China. Nvidia is planning to launch a cheaper version of its flagship Blackwell AI chips for China, Reuters reported in May.

The senators said in the letter they had previously expressed concern that Nvidia’s actions could support the AI and chip industries in China and cited Nvidia’s new research facility in Shanghai as an example.

Reuters

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