(Washington, D.C.) Two Chinese nationals and two Americans have been arrested in the United States for allegedly illegally exporting advanced Nvidia chips with artificial intelligence (AI) applications to China.
The arrested Chinese nationals are 38 and 45 years old, and the Americans are 34 and 46 years old. They are charged with conspiracy to violate the Export Control Reform Act and money laundering.
The U.S. Department of Justice said on Thursday (November 20) that they conspired to illegally export advanced Nvidia graphics processing units (GPUs) to China via Malaysia and Thailand.
Assistant Attorney General Eisenberg said in a statement that the four individuals deliberately defrauded U.S. authorities by forging documents, creating false contracts, and misleading them. They received nearly $4 million (approximately S$5.23 million) from China to fund the smuggling operation. Between October 2024 and January 2025, approximately 400 Nvidia A100 GPUs were exported to China in two shipments. Two other shipments were cancelled due to law enforcement intervention.
Following the indictment of the four individuals, an Nvidia spokesperson issued a statement saying, "Our export control system is rigorous and comprehensive. Even the sale of small quantities of older products on the secondary market is subject to strict scrutiny."
Further Reading
The U.S. Department of Justice has stated that China is seeking to acquire advanced U.S. technology to advance its goal of becoming a global AI leader by 2030.
Violations of the Export Control Reform Act and money laundering each carry a maximum penalty of 20 years in prison.
