The positive reaction followed the report that Beijing and Washington temporarily agreed to lower tariffs on each other’s products.
The agreement will reduce U.S. levies of 145% on most Chinese imports to 30%, while China’s 125% duties on U.S. goods will drop to 10% for a 90-day period, Bloomberg reported on Monday. The deal followed weekend negotiations in Geneva.
Also Read: Marvell AI Chips Stay On Track, JPMorgan Dismisses Share Loss Chatter
Last week, reports indicated the Trump administration’s planning to repeal a key Biden-era export restriction on AI chips.
The recent crackdown on Nvidia selling a specialized AI chip to China prompted the company to book a $5.5 billion charge.
The rollback targets the “AI diffusion rule,” which will go into effect on May 15. The Trump administration is exploring blocking China from accessing advanced chips without hurting American technology companies.
Big Tech giants, including Nvidia and Microsoft Corp (NASDAQ:MSFT), had criticized the diffusion rule, citing a loss of business opportunities for American companies.
Price Action: NVDA stock traded higher by 3.62% to $120.87 at the last check on Monday.
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