Nvidia AI accelerator prices doubled in China due to sustained demand amid US export controls, triggering supply shortage.

Nvidia AI chip prices have reached new highs in China, driven by strong demand for AI semiconductors among Chinese companies and heightened US-China tech tensions coupled with export restrictions.

According to Financial Times, certain Nvidia AI chip products restricted for export to China are experiencing significant price increases, with semiconductor costs doubling compared to their actual US prices.

Traders have attributed the price surge primarily to tightened US export controls and enforcement, which have constrained chipset supply. "The loopholes have shrunk. It is becoming more and more risky for intermediaries to trade these chips as prices have surged," one trader noted.

The products most affected include the Nvidia DGX B300 AI server, RTX 6000 Pro, and RTX 6000. The DGX B3000 server—which contains eight Blackwell graphics processing units and costs nearly $400,000 in the US—has increased in price by more than $1.1 million over the past six months. The RTX 6000 Pro has reached 130,000 yuan, up from 50,000 yuan. Both systems are prohibited for sale to China under US sanctions.

The price increases suggest the US is now targeting China's black market, which has historically supplied restricted chips to domestic companies. The continued demand reflects that Nvidia chips retain substantial value despite China's efforts to develop domestic alternatives.

Taiwan and Malaysia-based governments are also intensifying scrutiny of chip smuggling operations along popular re-export routes to China.

"AI data centers are massive and complex—building out of contraband is extremely difficult, and we do not provide any support or repairs for restricted products. Our compliance efforts have repeatedly stopped would-be smugglers, who risk prosecution on both sides of the globe."