Criticism is mounting after US President Donald Trump announced Nvidia would be allowed to sell its H200 chips to China, with opponents saying it could severely cut into the US lead in artificial intelligence.
Democrats and Republicans in Washington expressed concern that the move might lead the US to lose what is considered to be a competitive advantage in semiconductors and AI to its rival, China.
In a post on X, the House of Representatives select committee on the Chinese Communist Party issued a warning to Nvidia chief executive Jensen Huang, who last week visited in Washington to lobby for support on sales.
"Nvidia should be under no illusions – China will rip off its technology, mass-produce it themselves and seek to end Nvidia as a competitor," the post read. "That is China’s playbook and it is using it in every critical industry."
That message to Mr Huang and Nvidia came less than a day after Mr Trump announced on social that he had told Chinese President Xi Jinping that Nvidia's H200 chips, which are used in AI development, could be sold to "approved customers in China and other countries under conditions that allow for continued strong national security".
Democratic Senator Elizabeth Warren was also highly critical of Mr Trump's announcement.
"This risks turbocharging China’s bid for technological and military dominance, and undermining US economic and national security," she said.
Senate minority leader Chuck Schumer said Mr Trump was going against his campaign pledge to "be tough on China".
"Donald Trump is just selling out America for his own ego and his own gain," Mr Schumer said. He added that, in his assessment, Mr Trump was desperate to "get a deal with President Xi".
Earlier, the US Justice Department announced "Operation Gatekeeper",
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