Nvidia’s H200 Chip Supply Halted Amid Customs Dispute

U.S. stock markets opened with declines on January 20, impacting Nvidia and several crypto-related stocks, following halted production of components for Nvidia’s H200 chip amid Chinese customs issues.

The halt in H200 chip components, caused by Chinese customs, affects Nvidia’s supply chain and reflects broader U.S.-China tensions, influencing market dynamics and tech stock evaluations.

Chinese Customs Blockade Disrupts Nvidia H200 Supply

Nvidia’s suppliers halted production of the H200’s key components after Chinese customs blocked imports, disputing despite prior US export approval. This involved major Chinese tech firms, highlighting a demand-supply gap for advanced AI chips amid trade restrictions.

The halt impacted Nvidia’s stock, causing a 2.4% drop, with crypto-related stocks like MSTR and COIN experiencing declines. Despite the setback, Nvidia reported high customer interest and continues supply chain engagements to meet demand.

Cryptos and Stocks React to Nvidia’s Supply Issues

Did you know? In previous chip tension spikes, Nvidia rebounded quickly due to global demand, revealing the tech industry’s resilience amid geopolitical conflicts.

As per CoinMarketCap, MSTR2100 (MSTR) stands at $0.05, with a market cap of formatNumber(1047225.44, 2) and 24-hour trading volume at formatNumber(371171.59, 2), down by 4.99%. Over the past three months, the token’s price varied significantly, with a notable decrease of -29.76% in 90 days.

The Coincu research team cites ongoing demand shifts and geopolitical hurdles as factors influencing AI and crypto stocks. Potential regulatory developments may favor domestic alternatives, while US policies could drive competitive discrepancies in chip production and supply chain dynamics.