By Iyore Akezua
Production of key components for NVIDIA’s H200 artificial intelligence chip has been brought to a standstill after Chinese authorities effectively blocked the chip from entering the country, according to a report by the Financial Times.
The move has directly impacted manufacturers producing essential parts for the H200, including printed circuit boards (PCBs), with several suppliers suspending operations as uncertainty over deliveries deepens.
The development comes against the backdrop of escalating U.S.–China technology tensions. Although the administration of former U.S. President Donald Trump recently cleared the export of the H200 to China—subject to a 25 percent sales levy—Beijing declined to accept the terms. Instead, Chinese authorities reportedly advised domestic firms to limit purchases to essential needs only, a strategy aimed at accelerating the adoption of homegrown AI chips and strengthening local competitiveness.
Further tightening restrictions, Chinese customs officials allegedly summoned logistics companies in Shenzhen earlier this month and informed them that customs clearance requests for the H200 would no longer be processed. The decision effectively shut the door on imports of the advanced chip, amplifying supply chain disruptions and signaling China’s determination to reduce reliance on foreign semiconductor technology.
