According to a Reuters report on July 14, citing documents and two people with knowledge of the matter, ZTE’s subsidiary ZTE Kangxun Telecom and server manufacturer Maginfra have been approved by the United States to purchase NVIDIA H200 chips. Meanwhile, Zhuhai Hengqin Yunxiang Zhisheng Network Technology, a unit of Kingsoft Cloud, has been permitted to use Supermicro chips with performance that can compete with the H200. The list of Chinese companies known to be involved in the advanced AI chip licensing process has now expanded further.
Three newly approved companies: ZTE Kangxun, Maginfra, Zhuhai Hengqin Yunxiang Zhisheng
According to Reuters, citing documents and knowledgeable sources, the three newly approved Chinese companies and their authorized chips are as follows:
ZTE Kangxun Telecom (ZTE Kangxun Telecom): a subsidiary of ZTE, approved to purchase NVIDIA H200 chips
Maginfra: a server manufacturer, approved to purchase NVIDIA H200 chips
Zhuhai Hengqin Yunxiang Zhisheng Network Technology: a subsidiary of Kingsoft Cloud (03888-HK), approved to use Supermicro chips with performance comparable to the H200
All three firms are new names that had not previously been reported as having obtained U.S. approvals; they differ from previously known large internet groups such as Alibaba, Tencent, ByteDance, and JD.com.
In the May report, about 10 companies were approved, but chips had not yet been delivered
According to Reuters’ May report, the United States had approved approximately 10 Chinese companies to purchase NVIDIA H200 chips, including Alibaba (09988-HK), Tencent (00700-HK), ByteDance, and JD.com (09618-HK). However, at that time, no actual chip deliveries had occurred because the relevant deals were still subject to approval and review processes between the U.S. and China.
The three companies in this report are newly added to the list, indicating that the scope of approved companies continues to expand. Sources familiar with the matter said some Chinese cloud providers have recently informed partners and customers that they may soon be able to obtain the H200, suggesting that Chinese regulators’ review of import licenses may have progressed.
Trump administration permits H200 sales to China, but uncertainty remains
According to the report, the United States has continued to tighten restrictions on China’s exports of advanced AI chips since 2022, but the Trump administration still permits the sale of H200 to China. Some argue that exporting U.S. chips helps maintain U.S. technological leadership, and NVIDIA is actively seeking to continue expanding into the Chinese market.
Meanwhile, China’s government continues to promote the adoption of domestic chip alternatives. As a result, even with an export license already issued by the U.S., there remains uncertainty about whether the chips can successfully enter the Chinese market.
FAQ
Which three Chinese companies were newly approved to purchase NVIDIA H200 and Supermicro chips?
According to Reuters, citing documents and knowledgeable sources, the three newly approved companies are: ZTE Kangxun (approved for NVIDIA H200) under ZTE; Maginfra (approved for NVIDIA H200), a server manufacturer; and Zhuhai Hengqin Yunxiang Zhisheng Network Technology (approved to use Supermicro chips with performance comparable to the H200) under Kingsoft Cloud.
How many Chinese companies have already been approved to purchase NVIDIA H200?
According to Reuters, as of May, about 10 Chinese companies were known to have been approved, including Alibaba, Tencent, ByteDance, and JD.com. With these three new additions, the list of approved companies has expanded further, but the actual delivery of chips remains constrained by approval processes on both sides.
Can Chinese companies obtain NVIDIA H200 chips immediately after receiving approval?
The report indicates that approved companies are still subject to restrictions from the approval and review processes between the U.S. and China. Currently, chips have not yet been delivered to the approximately 10 previously approved companies. Some Chinese cloud providers have indicated they may soon obtain the H200, suggesting progress in China’s review process, but the exact delivery timeline remains uncertain.
