Nvidia Corporation (NVDA) has lost its direct AI GPU share in China, based on fresh remarks from CEO Jensen Huang. The shift is stark. Huang said Nvidia went from about 95% share in China to 0% after a long run of U.S. export curbs.
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Trade NVDA with leverage“We went from 95% market share to 0%,” Huang said at a Citadel Securities event. He also said, “I can’t imagine any policymaker thinking that that’s a good idea.”
The fall did not take place all at once. First, the U.S. placed limits on top AI chips in 2022. Then, more rules hit Nvidia’s China chips, such as the A800 and H800. Later, the H20 chip, which Nvidia built for China within prior rules, was also blocked in April 2025. As a result, Nvidia took a $5.5 billion charge tied to stock and chip plans.
For Nvidia, this is a key loss. Huang has said China is a $50 billion AI chip market. Yet for now, that market has become a “zero column” in Nvidia’s plans.
Meanwhile, NVDA stock rose slightly on Monday, closing at $198.48.
Huawei Gains as Nvidia Steps Back
Meanwhile, Huawei is moving into the space Nvidia left open. The company is set to take the top share of China’s AI chip market this year, based on the report. Huawei also expects AI chip sales to reach about $12 billion in 2026, up from $7.5 billion in 2025.
That growth is being helped by China’s push to use local chips. Beijing has urged local tech firms to buy from homegrown chip firms when they can. In turn, that gives Huawei a large home market and a clear path to grow.
Still, Nvidia remains the global leader in AI chips. Its software, chip speed, and data center ties are still hard to match. However, China is no longer a normal growth market for Nvidia. Instead, U.S. rules and China’s own policy push have helped speed up the rise of local rivals.
For now, the main point is clear. Nvidia still has strong AI demand in the rest of the world. But China has become a much tougher market, and Huawei is now the main firm filling the gap.
Is NVDA Stock a Strong Buy?
Turning to the Street, Nvidia Corporation holds a Strong Buy consensus. Of 42 analysts, 40 rate the stock a Buy, one a Hold, and one a Sell. The average NVDA stock price target is $274.38, implying a 38.24% upside from the current price.
