Cramer backs Nvidia selling AI chips in China
Cramer backs Nvidia selling AI chips in China
https://www.cnbc.com/2026/05/14/cramer-backs-nvidia-selling-ai-chips-in-china.html
Publish Date: 2026-05-14 19:15:00
Source Domain: www.cnbc.com
- CNBC’s Jim Cramer argues that the U.S. should allow Nvidia to sell artificial intelligence chips to China, asserting that it would benefit American companies by keeping Chinese firms dependent on advanced American technology rather than forcing them to develop competing products.
- Nvidia has faced export restrictions for years due to national security concerns introduced by the Biden administration, which have significantly limited its sales into China, the world’s second-largest economy.
- Investors are keen on whether Nvidia will regain access to the Chinese market and whether this impact could influence the company’s financial performance given its uncertain current status.
- Despite initial approval for limited sales of some products, Nvidia has yet to generate revenue and import approvals into China remain unclear.
- In March, Nvidia CEO Jensen Huang expressed optimism, revealing that the company received purchase orders and had restarted its manufacturing for these chips.
- Jim Cramer believes the final decision may hinge more on Chinese government policy rather than U.S. policies, suggesting that China must choose between allowing dependence on U.S. technology or accelerating its own developments.
- Regardless of the China situation, Cramer argues that Nvidia remains a strong buy due to its dominant position in AI, its relatively low valuation compared to competitors, and its overall potential in the AI market.
- Cramer emphasizes that the AI revolution largely owes its success to companies like Nvidia led by Jensen Huang.
