Shares of Advanced Micro Devices (NASDAQ:AMD) jumped over 7% on Tuesday after the company stated that it will resume shipments of its MI308 chips to China after receiving the US government approval.
The California-based chip company’s spokesperson told Bloomberg that the U.S. Commerce Department has informed the company that license applications for its MI308 would move forward for review.
Earlier in April, Advanced Micro Devices (NASDAQ:AMD) stated that new licensing requirements to export its MI308 artificial intelligence chips to China may result in charges of up to $800M.
The shift in policy represents a reversal for The Trump administration, which previously tried to toughen Biden-era chip restrictions on China, stating that restrictions on chip sales to China were not negotiable.
As relations between the world’s top two economies continue to improve, the policy shift is taking shape, which comes after a last week meeting between President Trump and Nvidia CEO Jensen Huang, who is expected to meet senior Chinese officials and is attending the International Supply Chain Expo in Beijing this week.
Earlier today, Nvidia (NVDA) said it hopes to resume sales of its H20 chips in China, citing U.S. government assurances that export licenses will be granted.
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