Nvidia is set to recoup billions of dollars in revenue as the Trump administration has signaled it will grant licenses for the company to resume sales of its AI chips to China after a surprise export ban in April.

Nvidia 's ( NVDA 0.37%) business has been going strong over the past few years thanks to its dominance in the global artificial intelligence (AI) chip market. The company designs the most powerful AI chips on the market,

American chipmaking giant Nvidia says it plans to resume sales to China of an artificial intelligence chip that’s become part of a global race pitting the world’s biggest economies against each other.

Nvidia's planned resumption of sales of its H20 AI chips to China is part of U.S. negotiations on rare earths, Commerce Secretary Howard Lutnick said, and comes days after its CEO met President Trump.

NVIDIA Corporation (NASDAQ:NVDA) is one of the best US stocks to buy according to Billionaires. On July 14, NVIDIA announced its intention to resume sales of its H20 AI chip to China.

Nvidia is now allowed to sell its H20 chips to China again—a development that could add $20 to $30 billion in annual revenue and reignite global AI demand. According to Shay, China accounts for 20% of global AI demand,

Nvidia stock jumped Tuesday after the AI chipmaker said it was applying to resume sales of its H20 GPUs to China.

China has leveraged its dominance over rare earths for Nvidia chips; however, this expert says world isn't decoupling, it is just bartering.

The AI chip giant is cheering now, but the celebration may be short.

NVIDIA’s (NASDAQ: NVDA) market received a green light to rally that will have far-reaching repercussions. NVIDIA is the largest company globally, with a valuation exceeding $4 trillion, and has the most significant impact on the S&P 500 index.