The Commerce Department’s Bureau of Industry and Security (BIS) said on Jan. 13 that it has revised its licensing policy for U.S. semiconductor exports to China, and specifically flagged security reviews for products made by Nvidia and Advanced Micro Devices (AMD).
BIS said it “will now review export license applications for the Nvidia H200, AMD MI325X, and similar chips on a case-by-case basis provided certain security requirements are met.”
In a posting to the Federal Register, BIS said the new review policy took effect on Jan. 15.
BIS further explained that the policy covers “exports of certain semiconductors to China and Macau –changing it from a presumption of denial to a case-by-case review.”
The rule applies to Nvidia’s H200 chip and comparable products, as well as certain less advanced semiconductors that are already commercially available in the United States.
However, BIS said that exporters must certify adequate domestic supply, “production of this product for exports to China will not divert global foundry capacity for similar or more advanced products for end users in the United States,” adequate security measures, and independent U.S.-based testing to verify the item’s performance.
Jeffrey Kessler, the Commerce Department’s under secretary for industry and security, commented, “Export controls should evolve with changes in technology, while protecting national security.”
“Permitting the sale of the H200 to China under controlled conditions will strengthen the American technology ecosystem,” he said.
The BIS policy revision follows a decision last month by President Trump to allow Nvidia to export its H200 chips to “approved customers” in China and other nations as long as the United States gets 25% of the profit – a decision that drew criticism from some lawmakers and industry experts.
The president officially secured the 25% share of profits made on advanced Nvidia and AMD semiconductors shipped abroad through a proclamation he signed Wednesday afternoon.