Nvidia Faces China Sales Guardrails as Lutnick Affirms License Constraints

Commerce Department Secretary Howard Lutnick stated at a hearing on February 10, 2026, that Nvidia “must live with” the licensing terms on sales of its H200 AI chips to China. The detailed terms, developed in conjunction with the State Department, are non-negotiable. When questioned about compliance with restrictions ensuring China’s military cannot access the chips, Lutnick deferred to President Trump, noting the complex U.S.-China relationship is managed by the executive and the secretary of state. The sales authorization followed a U.S.-China trade truce brokered in October 2025 and a U.S. pledge to defer by one year a rule barring shipments of American technology to thousands of Chinese firms.