Commerce Department Backlog Stalls Nvidia H20 Chip Licenses
A crushing Commerce Department backlog is holding up Nvidia’s H20 AI chip export licenses to China—delays threaten billions in revenue.
Matilda
Commerce Department Backlog Stalls Nvidia H20 Chip Licenses Why Nvidia H20 chip licenses are being stalled If you've been wondering why Nvidia H20 chip licenses haven’t been approved yet, you're not alone. In July 2025, U.S. Commerce Secretary Howard Lutnick announced that Nvidia could once again apply to sell its H20 AI chips to China. Yet, despite that green light, Nvidia still hasn't received an approved export license. This post explains why the delay is happening, what’s at stake for both U.S. firms and global AI competition, and how the ongoing backlog reflects deeper bureaucratic turmoil. Read on to get a clear answer to the top questions users search for—Why are the licenses delayed? What does it mean for Nvidia and China? And what might change next? Image Credits:Li Hongbo/VCG / Getty Images **1. Why Nvidia H20 chip licenses are delayed The Commerce Department’s Bureau of Industry and Security (BIS) is currently facing a historic backlog of export license applications. According to Reuters, thousands of applications—including …
