The head of a House of Representatives panel on China told U.S. Commerce Secretary Howard Lutnick that resuming sales of Nvidia's H20 chips to China threatens to advance Beijing's AI capability, stepping up his criticism of the decision and saying the original ban was "the right call.

U.S. Commerce Secretary said Nvidia's plans to start selling its H20 chips are tied to ongoing trade discussions with China regarding REEs.

The Silicon Valley chip giant said the Trump administration, which had shut down its sales to China three months ago, had assured it that licenses for the sales would now be granted.