China Blocks NVIDIA's Game Chips Amid U.S.-China Semiconductor Tensions

China has reportedly blocked the import of NVIDIA's game-specific graphics processing unit (GPU) designed for the Chinese market. This action marks a new phase in the ongoing semiconductor conflict between the U.S. and China, as even lower-performance models intended to comply with U.S. export regulations are unable to clear Chinese customs.

According to the Financial Times on May 21, China has halted the import of NVIDIA's gaming GPU, the 'RTX 5090D V2.' This model is a modified version of the GeForce RTX 5090 series, designed to meet U.S. export control standards by reducing memory and computational performance compared to existing high-performance products.

The blockade occurred at the customs level. Market research firm Jon Peddie Research reported that Chinese customs authorities informed logistics companies and GPU manufacturers that they would not grant import permits for the RTX 5090D V2.

This situation differs from previous U.S. restrictions on NVIDIA's AI semiconductor exports to China, as it represents a direct action by China to prevent the entry of U.S.-made high-performance GPUs. This move aligns with China's recent trend of promoting domestic semiconductor use over foreign alternatives, particularly in light of the ongoing restrictions on NVIDIA's H200 and other AI chips.

While the RTX 5090D V2 is primarily a gaming product, its high-performance capabilities make it suitable for AI tasks as well. Industry analysts view this as a signal that China aims to reduce its reliance on U.S. chips while fostering domestic companies like Huawei and Cambrian Technologies.

China has not disclosed specific reasons for the import ban. NVIDIA now faces the challenge of navigating both U.S. export controls and Chinese import restrictions in its efforts to regain a foothold in the Chinese market.

* This article has been translated by AI.

AJP