.png){kind=logo}
More than USD 3.2 billion worth of artificial intelligence projects across China could face delays and supply problems as US restrictions on NVIDIA chips tighten. The risks have increased following the departure of NVIDIA chief executive Jensen Huang, according to a Reuters investigation.
From a total of over 150 announcements, investment schemes and contract documents of China, there have been projects worth more than 23 billion yuan (3.2 billion USD) in terms of their reported value. These include investment schemes, contract agreements and computer facilities in operation. The projects are using processors of Nvidia, particularly H100, H200 and H800.
The findings highlight continued demand for NVIDIA hardware in China. This comes even as the company has said US export restrictions have effectively shut it out of China's AI data centre market. Some projects are already operating or under construction. Others could face delays or expensive changes if restricted processors become unavailable.
Also Read: NVIDIA CEO Jensen Huang's Affair Linked to USD 7.5 Billion Chip Shipments
Washington first introduced restrictions on advanced NVIDIA AI processors in 2022. It later expanded controls to cover modified chips designed for the Chinese market, including the H800. In January, the Trump administration introduced individual reviews for H200 export licences requested by eligible Chinese customers.
Huang's departure could weaken NVIDIA’s ability to influence discussions over export policy. He had previously argued against tighter restrictions on chip sales to China. Sunny Cheung, an analyst at the Jamestown Foundation, said, "Washington must stop focusing solely on who buys the chips on the surface and start examining who ultimately uses the computing power and for what purpose."
The problem also poses uncertainties regarding how limited chips can still reach Chinese customers. According to an October report by research company IDC, NVIDIA reportedly still had 34% share of China's AI accelerator sales in the first half of 2026.
This figure contradicts NVIDIA’s claim that it no longer has access to China's data center market. These statistics cover different segments and cannot prove how limited processors managed to reach Chinese consumers.
Huang stepped down on November 12 amidst allegations involving Alice Huang, the ex-employee who was once involved with Singapore-based NVIDIA cloud partner Megaspeed. US officials believed that she had ties with Beijing's intelligence services.
Megaspeed has denied accusations of illegally diverting NVIDIA chips to China. NVIDIA’s board has conducted an independent investigation and has stated that there is no reason to think any company secrets or US national security have been compromised.
Reuters also found out that none of the Chinese AI projects that it identified in its investigation has anything to do with Megaspeed or the allegations against Huang. There is no public evidence of Huang breaking US export laws.