Overview

• On July 12, Senators Jim Banks and Elizabeth Warren sent a bipartisan letter warning Jensen Huang to avoid meetings with Chinese companies suspected of undermining US export controls or working with Beijing’s military or intelligence bodies
• Huang is scheduled to hold a media briefing in Beijing on July 16, marking his second visit to China this year as he seeks to protect Nvidia’s market position
• In an interview, he downplayed the risk of China’s military using Nvidia chips, asserting that they “simply can’t rely on” US-made GPUs for defense applications
• US export controls since 2022—including an April ban on the H20 AI chip and new licensing mandates for modified GPUs—are projected to reduce Nvidia’s revenue by up to $15 billion
• China accounted for $17 billion, or 13%, of Nvidia’s sales in the last fiscal year, prompting the CEO to balance compliance measures with efforts to maintain access to a critical market