China government orders major tech companies to completely ban purchases of Nvidia AI chips, Nvidia CEO says he's 'disappointed'

China's internet regulator, the Cyberspace Administration of China (CAC), has reportedly banned major domestic technology companies, including ByteDance and Alibaba, from purchasing Nvidia's AI (artificial intelligence) chips, including the RTX Pro 6000D and H20, which are designed specifically for the Chinese market.

China bans tech companies from buying Nvidia's AI chips
https://www.ft.com/content/12adf92d-3e34-428a-8d61-c9169511915c

Nvidia CEO disappointed after reports China has banned its AI chips
https://www.cnbc.com/2025/09/17/nvidia-ceo-disappointed-after-reports-china-has-banned-its-ai-chips.html

The issue stems from the US's significant restrictions on exports of NVIDIA's high-performance AI chips, such as the H100, to China , citing 'national security concerns.' To avoid the export restrictions, NVIDIA designed chips for China, such as the RTX Pro 6000D and H20, and managed to export and sell them to China even amid the ongoing trade war between the US and China.

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However, China is investigating NVIDIA's acquisition of computer network supplier Mellanox for $7 billion (approximately 1.1 trillion yen) in 2020 on suspicion of antitrust violations, and in September 2025 announced the results of a preliminary investigation that found NVIDIA had violated antitrust laws.

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According to a Financial Times report, CAC has instructed the target companies to halt ongoing testing of the RTX Pro 6000D and cancel orders, after several companies expressed interest in purchasing tens of thousands of units.

The Chinese government's decision was based on its judgment that the performance of AI chips manufactured by domestic manufacturers such as Huawei and Cambricon has reached a level equal to or even surpassing that of Nvidia's products for China. This move signals China's strengthened efforts to wean itself from its reliance on American technology and develop a domestic semiconductor industry.

An executive at a Chinese technology company said, 'Previously, there was hope that NVIDIA would resume supply from its official blog once the geopolitical situation improved, but now they are focusing all their efforts on building a domestic system.'

Nvidia's stock price fell about 3 percent following the news. CEO Jensen Huang said in an interview in London that he was 'disappointed by the situation,' but added, 'We understand there are bigger issues between China and the US. We will be patient.'