Nvidia Plans to Ship H200 Chips to China in 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 03 2026
0mins
Should l Buy NVDA?
Source: Fool
- Market Re-entry: Nvidia plans to begin shipping H200 chips to China by mid-next month, with orders expected to reach two million units in 2026, potentially opening a market worth hundreds of billions and significantly enhancing its competitive edge in the global AI chip sector.
- Sales Growth: Despite sales to China representing 13% of revenue in fiscal 2025, Nvidia achieved a remarkable 62% revenue increase to $57 billion, demonstrating strong demand and profitability in the AI sector even amid export restrictions.
- Production Expansion: Nvidia has requested Taiwan Semiconductor Manufacturing to ramp up production of H200 chips to meet the 2026 order demand, which not only alleviates supply chain pressures but also ensures sustained growth in global markets.
- Strategic Investment: Trump's easing of export controls paves the way for Nvidia's return to the Chinese market, and if successfully implemented, it will further solidify its leadership position in the AI chip industry and lay a foundation for future growth.
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Analyst Views on NVDA
Wall Street analysts forecast NVDA stock price to rise
41 Analyst Rating
39 Buy
1 Hold
1 Sell
Strong Buy
Current: 175.750
Low
200.00
Averages
264.97
High
352.00
Current: 175.750
Low
200.00
Averages
264.97
High
352.00
About NVDA
NVIDIA Corporation is an artificial intelligence (AI) infrastructure company. The Company is engaged in accelerated computing to help solve the challenging computational problems. Its segments include Compute & Networking and Graphics. The Compute & Networking segment includes its Data Center accelerated computing and networking platforms and AI solutions and software, and automotive platforms and autonomous and electric vehicle solutions, including software. The Graphics segment includes GeForce GPUs for gaming and personal computers (PCs), and Quadro/NVIDIA RTX GPUs for enterprise workstation graphics. Its technology stack includes the foundational NVIDIA CUDA development platform that runs on all NVIDIA GPUs, as well as hundreds of domain-specific software libraries, frameworks, algorithms, software development kits (SDKs), and application programming interfaces (APIs). Its platforms address four markets, which include Data Center, Gaming, Professional Visualization, and Automotive.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Policy Risks: While the opportunities in the Chinese market are significant, uncertainties surrounding government regulations and market access could impact Nvidia's long-term strategic positioning in the region.
- Investment Opportunities: Analysts suggest that despite the high costs associated with re-entering the market, Nvidia could leverage technological innovation and adaptability to capture growth opportunities in China, enhancing its global competitiveness.
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- Customer Dependency Risks: A significant $300 billion of Oracle's backlog is attributed to OpenAI, which only generates $25 billion in annual revenue and is experiencing substantial losses, creating uncertainty around Oracle's future revenue streams.
- Deteriorating Market Conditions: With geopolitical tensions in the Middle East driving oil prices up, fears of an economic slowdown have intensified, leading to a 57% drop in Oracle's stock since last September, prompting investors to adopt a cautious outlook on its prospects.
See More
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