Nvidia’s stock surged by 3.10% on Wednesday following Bloomberg’s revelations that the Trump administration plans to roll back AI chip restrictions set during Biden’s presidency, potentially transforming the landscape of semiconductor trade policies.
This possible regulatory relaxation could significantly ease tensions that have affected major tech enterprises globally.
This prospective shift is part of a broader strategy to reassess the export rules for semiconductors produced by companies such as Nvidia. A regulation dubbed the AI diffusion rule, poised for implementation on May 15, appears likely to be shelved by the current administration.
Originally enacted in the closing stage of President Biden’s leadership, the rule was designed to curb China’s access to advanced AI chip technologies by introducing stringent U.S. licensing demands for worldwide AI chip exports.
Nevertheless, insiders suggest that Trump’s team is developing a fresh regulation that aims to impose stricter control over semiconductor exports while simultaneously boosting America’s leadership in AI innovation.
