The Trump administration has dialed back aggressive measures against China and reversed its position on technology controls as the president angles for a Chinese trip later this year.According to The New York Times, the Trump administration has shifted its stance on China and eased restrictions on technology controls in an effort to improve relations and potentially secure a Chinese trip later this year. One of China’s main requests has been for the US to relax its strict controls on advanced artificial intelligence chips, which were initially put in place to slow China’s technological and military advancements. However, last week the administration allowed the US-based company Nvidia to sell a lower-level but still highly sought after chip, known as H20, to China. This decision marks a significant change from just three months ago when President Trump banned China from accessing the H20 chip and imposed high tariffs. This move sparked a trade clash as China retaliated by restricting exports of critical materials to American factories. The Trump administration has now shifted its approach and is attempting to woo China instead of using aggressive tactics. Officials say that the administration is putting aggressive actions on hold and focusing on positive moves that will be perceived well by China, such as the reversal on the H20 chip. The decision was largely influenced by top Trump officials who agreed with Nvidia’s argument that selling the chip would benefit American technology leadership more than withholding it.
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