Nvidia has placed an order for 300,000 H20 chips from Taiwan Semiconductor Manufacturing Company (TSMC). The decision follows a sharp rise in demand from China, according to people familiar with the matter. These NVIDIA China-specific AI chips are part of the company’s ongoing efforts to stay competitive in a market where U.S. export rules continue to tighten.
The H20 chip is Nvidia’s top-performing option still allowed under U.S. trade restrictions. It’s specifically built for the Chinese market. Insiders say Chinese companies are rushing to secure these chips as they work to boost their AI systems. With limited access to high-end GPUs, the Nvidia China-specific AI chips lineup has become a vital alternative.
China’s rising demand shows its drive to grow its tech capabilities while following global trade rules. TSMC is now making the H20 chips for Nvidia, and sources say production might run through late 2025, depending on how strong demand stays and whether U.S. export approvals come through. The first H20 gpu shipments are expected to roll out in August.
Demand for Nvidia China-Specific AI Chips
Despite global pressure, Nvidia and TSMC remain central to the global AI chip supply chain, with each playing a critical role in meeting market demand. By developing products tailored to regional needs, Nvidia is keeping its Chinese operations going. The NVIDIA China-specific AI chips meet U.S. guidelines but still provide enough power to support a wide range of applications.
Big names in China’s cloud and data sectors have already placed bulk orders for the H20 chip, showing how eager the market is to stay ahead in the AI race. Experts believe this surge in buying could lead to shifts in how chips are produced and delivered across Asia.
Analysts also point out that Nvidia is trying to reduce risks by not relying too heavily on one region. Instead, it’s focusing on speed, flexibility, and compliance. The H20 gpu is a key part of that approach—powerful enough for China’s needs but still within regulatory boundaries.
This big order shows that Nvidia’s approach is paying off. By moving quickly and working with TSMC, the company is delivering NVIDIA China-specific AI chips on time while staying aligned with global policies.
