David Sacks – AI expert at the White House – defends the Trump administration's decision to reverse restrictions on AI chip exports to China to protect the technological position of the United States globally.
The decision to reopen exports of Nvidia's H20 chips is a strategic move to help the U.S. compete more effectively while limiting Huawei's expansion in the global market.
MAIN CONTENT
The Trump administration changed its AI chip export policy to maintain global technological advantage.
Nvidia and AMD benefited by billions of dollars when allowed to re-export chips to China.
This open policy helps reduce the risk of allies turning to Chinese technology.
Why did the Trump administration reverse the restrictions on AI chip exports to China?
Expert David Sacks affirmed that loosening chip exports is not a concession but a strategic adjustment to strengthen the technological advantage of the United States.
Trump's initial policy restricted the export of the most advanced AI chips to China to prevent Huawei from dominating the domestic market and expanding its global influence. However, overly strict bans risk backfiring, pushing allies and neutral countries towards China.
If you do not allow countries to buy U.S. technology, you will inadvertently push them towards Chinese technology.
David Sacks, AI Expert White House, 2024
This is also an important victory for Nvidia CEO Jensen Huang, who lobbied the U.S. government to ease restrictions, having a direct meeting with former President Trump at the end of July 2024.
How does this decision affect Nvidia and AMD?
The decision to reopen exports helps Nvidia and AMD recover billions of dollars in lost revenue due to previous tight regulations.
Nvidia's H20 chip was severely affected by Biden's import regulations, and then Trump tightened them further causing a loss of $4.5 billion in Q1 and potential additional revenue losses of $8 billion. AMD also forecasts a loss of $800 million in Q2 of 2025.
Tightening production puts pressure not only on businesses but may harm national security interests as allies seek alternatives from China.
How does this policy fit into the broader trade and technology strategy?
David Sacks emphasizes that this is part of the strategy to develop an AI ecosystem 'Made in America' with chips, operating systems, and AI models entirely developed by the U.S. to maintain absolute advantage in the global market.
The policy was leveraged as a negotiating tool in U.S.-China trade negotiations, alongside concessions on chip design software exports and cooperation on critical rare earth resource sourcing for high-tech production.
We want everything to be controlled and directed by the U.S. If we weaken U.S. companies, China will have an easier time.
David Sacks, AI Expert White House, 2024
U.S. Treasury Secretary Scott Bessent also confirmed that the H20 chip restrictions have become a key bargaining chip in negotiations taking place in Geneva and London.
Compare the impact of the old and new policies on Nvidia and AMD
Company Regulation Before Policy Reopening Financial Impact Nvidia H20 was strictly limited, requiring special licenses Allowed to re-export H20 back to China Recovered $4.5 billion in losses, expected to increase revenue by an additional $8 billion AMD MI308 requires a license even if already designed Continues to be exported MI308 Reduces projected loss of $800 million in Q2
Frequently Asked Questions
Does this policy help the United States maintain its technological advantage?
Yes, this is an adjustment step to increase competitiveness for U.S. companies and limit the expansion of Chinese technology.How are Nvidia and AMD affected by the ban?
Nvidia incurred a loss of $4.5 billion in Q1, forecasting an additional loss of $8 billion, while AMD lost about $800 million in Q2 of 2025.Is loosening exports a national defense risk?
According to David Sacks, the H20 chip is outdated, and loosening restrictions does not increase risks to national security.How is this policy related to trade negotiations?
This is a negotiating tool that helps the United States achieve an agreement to expand exports of chip design software and collaborate on rare earth resources.What are the overall benefits of this policy?
Strengthening the U.S. AI ecosystem, increasing revenue for domestic businesses, and maintaining global technological influence.
Source: https://tintucbitcoin.com/white-house-giai-thich-bo-cam-chip-trung/
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