US President Donald Trump has announced that he will allow AI chip giant Nvidia to sell its advanced H200 chips to "approved customers" in China.
"We will protect National Security, create American Jobs, and keep America's lead in AI," Trump said on social media on Monday.
The decision will apply to other US chip companies like AMD and comes after extensive lobbying by Nvidia boss Jensen Huang, who visited Washington last week to drum up support.
Nvidia - both the world's leading chip firm and most valuable company - has found itself at the centre of a geopolitical tug-of-war between the US and China in recent months, and had been banned from selling its most advanced chips to Beijing.