China US trade tensions escalate over tech transfer and export controls

The global trade landscape continues to be impacted by allegations of intellectual property theft, technology transfer, and export control disputes between Beijing and Washington. Jensen Huang, CEO of American tech giant Nvidia, has stated that the idea of the US decoupling from China is flawed, citing the profound economic and technological ties between the two nations.

The US and China, the world’s two largest economies, remain embroiled in a series of mutual accusations. Washington has repeatedly accused China of unfair practices, including intellectual property theft and forced technology transfer, while Beijing has condemned US export controls as politicizing trade and warned that they disrupt global supply chains.

In a recent video interview, Huang emphasized the significant dependency between the US and China, highlighting the global artificial intelligence sector’s reliance on Chinese students and scientists. He noted that 50% of the world’s AI researchers are from China or have Chinese roots.

Tensions between the two nations have been escalating, with the US Department of Commerce placing 32 foreign entities, including 23 Chinese firms, on its trade blacklist in September. The move was met with strong opposition from Beijing, which launched anti-dumping and anti-discrimination investigations into US chip policies.

US export controls on advanced AI chips, including Nvidia’s H200, have been in place for years, restricting shipments to China. However, in December 2025, US President Donald Trump reversed part of the previous ban, allowing exports of H200 to approved Chinese customers under a regulated licensing regime.

Despite US approval, Chinese regulators initially paused or limited orders, citing the need to access rules and balance AI demand with support for domestic chip development. Recent reports suggest that China is moving toward authorizing H200 imports, potentially with conditions restricting usage and domestic procurement.

The ongoing trade disputes and export control restrictions have significant implications for the global tech industry and trade landscape. As the US and China continue to navigate their complex economic and technological relationship, the impact on global supply chains and the development of emerging technologies like AI will be closely watched. The evolving dynamics between the two nations will likely shape the future of international trade and technological cooperation.

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