American chipmaking giant Nvidia says it plans to resume sales to China of an artificial intelligence chip that’s become part of a global race pitting the world’s biggest economies against each other.

The Trump administration’s decision allowing Nvidia Corp. to resume shipments of its H20 artificial intelligence chips to China risks bolstering Beijing’s military capabilities and expanding its capacity to compete with the US in AI,

The Trump administration has assured Nvidia that licenses to export the chips will be granted, ending months of halted shipments.

Sources say firms are rushing to buy Nvidia's H20 AI chips, as the company said it planned to resume sales to China.

Nvidia said it plans to resume sales of its best-selling H20 AI chip to China, days after CEO Jensen Huang met with President Donald Trump.

Mich., said Beijing-focused export controls should be designed to keep China’s military “from leapfrogging ahead with U.S. hardware.”

David Sacks said this would "deprive Huawei of basically having this giant market share in China."

Nvidia stock's surge looks poised to accelerate because investors' biggest concern about the company -- losing the Chinese data center AI chip market -- is now a non-issue.