Breaking: US Government Imposes Stricter Limits on GeForce RTX 4090 Exports to China
Nvidia's GeForce RTX 4090 shipments to China face restriction as US Government's Bureau of Industry and Security imposes a halt, impacting the company's supply chain
Highlights
US government restrictions on exports are impacting Nvidia and its GeForce RTX 4090 product, as China and other countries will no longer receive shipments.
Nvidia is obligated to adhere to the measures taken by the Biden administration in order to safeguard national security. These measures involve restricting access to specific semiconductors from China.
However, Nvidia remains confident that the impact on its financial performance will be insignificant, given the strong global demand for its products.
Nvidia is now facing the impact of the recent restrictions on international exports imposed by the US government. These restrictions are beginning to affect the availability of their new products, including the highly powerful GeForce RTX 4090. China, along with several other countries that are also subject to the restrictions, will no longer be able to receive shipments. While Nvidia may view this as a temporary obstacle, interested consumers from around the globe who are looking to purchase a new GPU from the company will be affected.
As Nvidia continues to expand its global reach by delivering high-performance products, it must also navigate and comply with the actions taken by the Biden administration to enforce national security measures. Certain semiconductors will now be prohibited from being exported to China, following a new set of rules. The objective behind these rules is to update export controls on advanced computing semiconductors and semiconductor manufacturing equipment, as well as items supporting supercomputing applications and end-uses. Additional regulations have been implemented to safeguard national security. As a result of these recent changes, Nvidia will need to make necessary adjustments.
Ultimately, starting on November 16, 2023, Nvidia will no longer be able to ship several of its products to China, including the A100, A800, H100, H800, L40, L40S, and GeForce RTX 4090 cards and modules. This restriction is being implemented 30 days after the initial disclosure made to the United States Securities and Exchange Commission on October 17, 2023. However, in order to overcome this challenge, Nvidia plans to explore alternative production methods in other regions.
The GeForce RTX 4090 Founders Edition by NVIDIA boasts 16,384 CUDA Cores, making it their highest-end GPU. It offers seamless ray tracing gameplay and supports gaming up to 8K resolution. Additionally, this variant of the card excels in terms of cooling, VRMs, and overall value.
Available for purchase on Amazon and Newegg for $2070.
Nvidia, Intel, and AMD experienced a decrease in stock percentages on Tuesday due to the new export regulations, which are only the beginning of the restrictions imposed on advanced computing semiconductors and semiconductor manufacturing equipment. Despite this, Nvidia is confident that the impact will be short-term and minimal, citing strong global demand for their products.
The US government's decision to halt shipments is not only affecting China but also Saudi Arabia, the United Arab Emirates, and Vietnam, as it aims to limit international access to advanced technologies that could be used in foreign military operations. If the US government continues to introduce new trade regulations, other regions may also be affected. Besides Nvidia and other companies currently affected, there is a potential for further scrutiny on advanced technologies.
Source: Bureau of Industry and Security, United States Securities and Exchange Commission
