Nvidia (NVDA, Financial) CEO Jensen Huang has traveled to Beijing for meetings with Chinese officials and industry leaders, just weeks after the U.S. imposed new restrictions on AI chip exports to China. This marks Huang's second visit to the country in the past three months.
The trip comes in the wake of updated U.S. export rules that now require a license to ship Nvidia's H20 chips to Chinese customers. Analysts estimate the change could cost Nvidia up to $5.5 billion in potential sales and delay deliveries to Chinese firms awaiting the hardware.
Huang's visit was made at the invitation of the China Council for the Promotion of International Trade, a government-backed body. During the trip, Huang met with Nvidia clients, including the founder of Chinese generative AI company DeepSeek, to discuss next-generation chip designs tailored for the local market, according to the Financial Times.
He also held talks with Chinese Vice Premier He Lifeng. In a statement during his visit, Huang emphasized China's significance to Nvidia's business and expressed a desire to maintain cooperative ties despite geopolitical tensions.
It's important to note that NVIDIA has suffered meaningful pullbacks in recent periods, falling 8.6% over the past week and 14.1% in the last month, compared with the S&P 500's respective declines of 3.3% and 6.4%.
Over six months and year‑to‑date, NVIDIA is down roughly 23.0% and 22.2%, while the broader index has fallen about 9.7% and 10.3%. This means NVIDIA has underperformed the sector median by a wide margin, with losses roughly double to triple those of the S&P 500 across all timeframes.
