FT: Nvidia AI chips worth $1bn smuggled to China after Trump export controls No shortage of B200 in China. Mostly deployed in data centers out of reach from US regulations, but available for use by PRC bigtech companies. Qwen AI Summary of the Article: The Financial Times reports that over $1 billion worth of Nvidia’s advanced AI chips (e.g., B200, H100, H200) were smuggled into China in three months following tightened U.S. export controls under the Trump administration. These chips, critical for training AI systems like those used by OpenAI and Google, are banned from sale to China due to national security concerns. Despite this, a black market thrives , with Chinese distributors sourcing restricted hardware via intermediaries in Southeast Asia and selling them to data centers serving AI firms. Key players include companies like "Gate of the Era" and its affiliate "China Century," which resell pre-assembled racks of Nvidia chips. While U.S. export controls have been partially relaxed (e.g., allowing sales of the less-powerful H20 chip), smuggled high-end chips remain in demand. The article highlights systemic evasion of U.S. restrictions, with profits driven by intermediaries exploiting regulatory loopholes and demand from smaller firms, blacklisted entities, and third-party data center operators.