Nvidia Halts H200 Chip Shipments to China Over Regulatory Barriers
Nvidia halted H200 chip shipments to China due to ongoing US and Chinese regulatory barriers after originally forecasting up to hundreds of thousands of unit sales. Jensen Huang predicted zero China revenue in mid-2025, and Nvidia anticipates 70% quarterly growth and a market cap above $4 trillion without Chinese sales.
1. Production Halted for H200 Chips
Nvidia has stopped production and shipments of its H200 AI accelerator chips destined for the Chinese market. The company initially expected strong demand in China, with sales potentially reaching hundreds of thousands of units.
2. Regulatory Challenges in US and China
Both US export restrictions and Chinese import controls are cited as key reasons for the suspension. Nvidia assessed that these persistent barriers would continue to limit its ability to serve Chinese customers with the H200 platform.
3. Financial Outlook Without China
CEO Jensen Huang projected zero China revenue in mid-2025 forecasts, reflecting the company’s conservative approach. Nvidia still expects 70% quarterly revenue growth and aims to maintain a market capitalization above $4 trillion despite losing access to its second-largest market.