Trump says Nvidia’s 15% duty applies to ‘old’ H20 chips, may permit export of up to 50% downgraded Blackwell chip

US President Donald Trump said that Nvidia’s existing tasks on the export agreement with China cover the old H20 chip, which it is only described as “elderly”.

Speaking to journalists on Monday, Trump said he would make an agreement that would allow Nvidia to send Blackwell chips to China if the company makes less developed. It is possible to make an agreement on “A little improved – in a negative – Blackwell” processor. “In other words, it gets 30% to 50% discount.”

In addition, Nvidia CEO Jensen Huang is expected to visit the new chip Blackwell this week to discuss.

Trump’s Nvidia’s agreement with AMC

Previously, Nvidia Corp. and Advanced Micro Devices Inc. (AMD) agreed to give 15% of China Chip sales revenues to the US government. This agreement is to guarantee export licenses, and according to Bloomberg News, it is considered an unusual regulation that can disturb both US companies and Beijing.

Trump initially said that he wanted a 20% deduction for the US if he approved H20 sales from Nvidia to China, but ultimately accepted a 15% share. Two of them negotiated a “small agreement”.

NVIDIA plans to allocate 15% of its revenue from H20 AI Accelerating Sales from China, referring to a person familiar with the report, while the AMD MI308 will pay the same share from revenues.

Nvidia’s income sharing agreement for the H20 chip and the possibility of someone else for Blackwell Chip emphasizes Trump’s effort to regulate financial earnings for the United States in exchange for trade concessions.

However, such unprecedented arrangements face the risk of a precedent to determine a precedent for all American companies operating in the Asian country and may weaken the reason for export controls of the US government.

Last week, Trump criticized chipsets with various expressions that uneasy from Silicon Valley to Asia. On Wednesday, companies threatened to apply 100% tariffs to imported chips unless they invested in the US more. However, these new tariffs will probably affect very few companies, because most large chip producers are already covered by existing investments or trade agreements.