Chip stocks fall as Nvidia, AMD warn of higher costs from China export controls

Group 1 - Nvidia's stock experienced a 5% decline, influenced by concerns over President Trump's tariff plans potentially affecting demand and growth in the chipmaking sector [1] - Nvidia announced a $5.5 billion charge related to exporting its H20 graphics processing units to China and other countries, with new government licensing requirements for shipments [2] - The H20 chip was specifically designed for the Chinese market under President Biden's administration to comply with U.S. export restrictions, which are projected to impact an estimated $12 billion to $15 billion in revenue for 2024 [3] Group 2 - Advanced Micro Devices (AMD) indicated that the latest export controls on its MI308 products could result in an $800 million revenue hit [3]