China is an important market for Nvidia, generating $17.1 billion in fiscal 2025 revenue, or 13.1% of total revenue. However, Nvidia and AMD ( AMD) recently agreed to pay the U.S. government 15% of Chinese revenue as part of a deal to secure export licenses to China.

In a surprising reversal of the United States’ years-long technology restrictions on China, President Donald Trump last month allowed Nvidia to resume sales of a key AI chip designed specifically for the Chinese market.

Is the good news fully priced in? Explore key insights on demand, stockpiling, and margins. Read why NVDA is a Hold.

Several top Senate Democrats are urging President Trump to walk back a deal with Nvidia and AMD that would allow the companies to sell artificial intelligence (AI) chips to China after they agreed

Nvidia is set to beat expectations, with strong revenue forecast of $48b for Q2 and expected growth through 2026, driven by demand for AI and new Blackwell architecture.