Trump heads to Shenzhen as Nvidia CEO steps down

President Donald Trump arrives in Shenzhen, China, next week for the Asia-Pacific Economic Cooperation summit. He is scheduled to meet with Chinese President Xi Jinping. This visit occurs as Jensen Huang steps down as chief executive of Nvidia.

Huang announced his departure on Thursday. He has been one of Trump's closest allies in Silicon Valley. His presence in the US delegation is now in doubt. The move follows mounting scrutiny over his relationship with Alice Huang, a former Megaspeed executive. US officials suspect she worked for Chinese intelligence, a claim Beijing has denied.

The tension builds on recent events involving US chip exports. In December 2025, Trump approved sales of Nvidia's H200 chips to China. The deal required 25 percent of proceeds to go to the US government. Huang had argued that wider use of US technology would help Washington maintain its lead in AI development. Despite the approval, shipments remained low due to slow import approvals from Beijing, which sought to support domestic chipmakers.

Huang accompanied Trump to Beijing in May. He was a late addition to the delegation aimed at unlocking stalled sales. No breakthrough was announced at that time. Trump has defended Huang during the scandal, calling him an honourable guy. Analysts suggest the personal affair will not immediately shift US-China relations.

Steve Okun, a Singapore-based geopolitical analyst, described the current state as a stalemate at best. He noted that AI diversion and diffusion are more likely to cause tension than the scandal itself. Gabriel Wildau, managing director at Teneo, said Trump shows no sign of disrupting the current rapprochement. However, Wildau warned that the president may face pressure from Congress and hawkish voices in his administration.

Carsten Holz, an expert on the Chinese economy at the Hong Kong University of Science and Technology, stated that Huang's personal affairs will be of little relevance to the talks. He added that Trump's China policy lacks coherence, making his position in Shenzhen hard to predict. Lian Jye Su, chief analyst at Omdia, noted that a tough line on AI and China is a rare political consensus across the aisle.

Pressure is mounting in Washington. Democratic Senators Elizabeth Warren and Chris Coons asked Commerce Secretary Howard Lutnick, Secretary of State Marco Rubio, and White House chief of staff Stephen Miller to preserve records on Nvidia's chip exports. They expressed concern over the enforcement of export controls. Meanwhile, procurement notices show a Chinese university linked to the defence establishment bought H200 chips through a third party in September and October.

Beijing has rejected the spy claims. Mao Ning, a Ministry of Foreign Affairs spokesperson, said the US should stop fabricating spy narratives to impose a technological blockade. She added that China is willing to work with the US to implement the consensus reached by the two leaders. Shares in Chinese chipmakers Moore Threads, MetaX, and Cambricon jumped nearly 10 percent on Thursday. Okun expects pressure to build next year as Congress considers new legislation and export controls.