Nvidia was blindsided earlier this year when the US government enacted tougher restrictions on selling artificial intelligence chips to China. The restriction prevented Nvidia from selling its H20 chip within the Middle Kingdom,

Trump said Monday that he has cut a deal with chipmaker Nvidia, allowing it to sell certain artificial intelligence chips to China in exchange for a cut of the revenue, which would go to the U.S. government. Trump said he also negotiated a similar deal with chipmaker Advanced Micro Devices (AMD).

Nvidia is developing a new Blackwell-based AI chip for China, expected to outperform the H20 amid export curbs, security concerns, and intensifying U.S.-China tech tensions.