Nvidia Considers Increasing H200 Production

High demand from Chinese companies led Nvidia to consider increasing capacity for its H200 AI chip. The news comes several days after US President Donald Trump announced the GPU would be cleared for export to approved companies in China.

Requests for the processor exceed Nvidia’s current output level, leading it to evaluate its options. Alibaba and TikTok parent ByteDance are reportedly among those keen to place large orders for the units. Authorities in China have yet to approve the purchase of the chips by domestic companies. Last week, President Trump revealed Nvidia would be allowed to export to approved companies in China, reversing an earlier ban.

Under the new arrangement, sales of the units to the country would be subject to a 25% levy by US authorities. In a social media post, he noted Chinese President Xi Jinping responded positively to the move. However, access to the chips is likely to be limited by authorities in Beijing as China pushes companies to use domestic alternatives.