Nvidia’s chips did reach China: all it took was a subsidiary in Malaysia

▤ Summary

The article explains how U.S. export controls on advanced AI chips have created loopholes that Chinese companies have used through subsidiaries in Malaysia and other intermediary routes. It says the Trump administration froze the Biden-era AI Diffusion rule, leaving a legal gap that allowed purchases of Nvidia and AMD GPUs to continue. The U.S. Commerce Department has now issued new guidance aimed at closing that gap by extending licensing requirements to entities based in China even when they operate abroad. The piece also notes that some access paths may still remain open, including possible manufacturing capacity through TSMC.

▦ Linked Companies

NVIDIA Corporation

$1B+