Nvidia Corp. and Advanced Micro Devices Inc. plan to resume sales of some AI chips in China after securing Washington’s assurances that such shipments would get approved, a dramatic reversal from the Trump administration’s earlier stance on measures designed to limit Beijing’s AI ambitions.

Nvidia’s scaled-down chip is called the H20. Introduced in 2023, it’s a slower version of the company’s H100 chip, which was at one point its fastest data center AI accelerator. AMD’s scaled-down chip is known as the MI308.

Demand in China has begun surging for a business that, in theory, shouldn't exist: the repair of advanced Nvidia artificial intelligence chipsets that the U.S. has banned the export of to its trade and tech rival.