Lin Xiumin, "Semiconductors See the World" Most of the Huida AI chips in the Chinese market this year are suspected of being smuggled

Almost all Huida AI accelerator chips that appeared in the Chinese market in the first half of this year are illegal.

According to foreign media reports, Huida's market share in China's data center AI chip market fell to 34% in the first half of the year. The most interesting thing about this number is not that it has dropped from last year, nor that its market has been lost to Chinese manufacturers such as Huawei, but that under the strict export controls of the United States, almost 34% of AI server chips are imported through smuggling, showing that there is still a need to strengthen the export control of AI chips in the camp of democratic and liberal countries.

Reuters reported that International Data Corporation (IDC) data showed that NVIDIA shipped 678,000 artificial intelligence (AI) accelerators in China from January to June, a 44% decrease from a year ago.

Washington has restricted China's access to Huida's most powerful AI chips, limiting the range of products the U.S. chip maker can sell in the world's second-largest economy. At the same time, Beijing is vigorously promoting local alternatives and requires Chinese companies to obtain approval before importing Huida chips that meet the regulations.

IDC did not specify the types of products covered by Huida's 34% market share, nor did it explain whether this number includes the latest AI chips such as B200 and B300, which have been banned from export to China but are smuggled into China.

According to the above media reports, Huida did not respond to requests for comment.

Huida's AI server chips, which account for 34% of the Chinese market, are almost all imported through smuggling.

Huida products can be used for AI computing power. According to the performance, they can be roughly divided into two categories: HBM or GDDR. HBM is the most powerful memory. Therefore, AI chips using HBM are also the most powerful. Most AI chips using GDDR are for cost or only for inference considerations.

Under the export control policy of the United States, currently all HBM AI chips that can be sold in the Chinese market are only the H20. In the early days, the A800 and H800 could still be legally imported into China. However, under the tightening control of the United States, their sales were banned the year before last. Therefore, according to the survey statistics of the above-mentioned media, among the Huida AI server chips that appeared in the Chinese market in the first half of this year, the only legal product is the H20.

Among the Huida AI server chips that appeared in the Chinese market in the first half of this year, the only legal product left is the H20. H20 sales have reached zero.

Although H20 has been approved by the United States, this disabled version of the chip has made the Chinese government, which considers itself a Chinese dynasty, very angry and has comprehensively suppressed the sales of H20 in China. NVIDIA admitted in its financial report in August 2025 that the sales of H20 in China have dropped to 0.

In terms of GDDR, Huida's products also include L20 and L2 chips, but in fact their performance is low and there is no incentive for Chinese AI companies to adopt them. Therefore, according to Huida's data, the status of these two products is very unsatisfactory even if they are sold in China.

Another RTX 6000D China Special Edition also angered the Chinese government because of the characteristics of the disabled version, resulting in the same fate as the H20.

Based on the above, the 670,000 new AI chips produced by Huida in China this year are almost certainly illegal, because the Chinese government does not want any legal ones, and Huida’s financial report also confirms these rumors.

These Huida AI chips smuggled into China in large quantities will also be the biggest challenge for countries in the democratic and liberal camp in the future.

The Cyberspace Administration of China ordered major technology companies such as Alibaba Group to stop purchasing the RTX Pro 6000D, an artificial intelligence (AI) chip launched by Huida for the Chinese market, and cancel existing orders.