Nvidia and AMD have agreed to share 15% of revenue from chip sales in China with the U.S. government as part of a deal with the Trump administration to secure export licenses for advanced semiconductors.
According to reports citing U.S. officials, under the agreement, Nvidia will allocate 15% of its revenue from the sale of H20 chips, while AMD will contribute 15% of the revenue from its MI308 chips.

In April, the Trump administration suspended the export of advanced computer chips to China, citing national security concerns. However, by July, Nvidia and AMD revealed that Washington had approved the sale of the H20 and MI308 chips to Chinese buyers.

President Trump confirmed the details of the agreement during a press conference on Monday, revealing that he initially requested 20% of the sales revenue when Nvidia sought approval to sell the ‘obsolete’ H20 chip to China. He credited Nvidia CEO Jensen Huang for negotiating the rate down to 15%.
“So we negotiated a little deal. So he’s selling a essentially old chip,” Trump said.

Export restrictions on advanced chips have become a major point of tension in the AI competition between the U.S. and China. Proponents claim these limits are essential to hinder China’s advancements and protect U.S. technological leadership, while critics argue that loopholes weaken the policy’s impact and might even accelerate innovation in China.

The H20 chip was specifically designed for the Chinese market following export restrictions imposed by the Biden administration in 2023. The renewed chip sales to China reflect a gradual easing of trade tensions between Washington and Beijing. China has loosened its controls on rare earth exports, while the U.S. has relaxed restrictions on chip design software companies operating in China.

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