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Prosecutors say that two men have been knowingly and voluntarily used in California to escape export controls on IA fleas.
In the United States, the authorities billed two Chinese citizens to send tens of millions of dollars in Nvidia advanced chips in China in violation of export controls.
Chuan Geng and Shiwei Yang would have exported “knowingly and voluntarily” the graphic processing units (GPU) used to feed artificial intelligence without authorization from October 2022 to July 2025, the US Ministry of Justice said on Tuesday.
Export recordings indicate that Geng and Yang, both 28 years old, organized at least 21 expeditions through their California company, Alx Solutions Inc, based in El Monte, California, Singapore and Malaysia companies, said the Ministry of Justice.
Exports included a shipment of December 2024 from GPU Nvidia H100 – described as the most powerful market on the market – which was “falsely labeled” and had not obtained the necessary license of the United States Ministry of Commerce, said the Ministry of Justice.
According to prosecutors, Alx Solutions received business payments in Hong Kong and China, including a sum of $ 1 million in a Chinese company in January 2024, rather than the companies that accepted shipments.
The prosecutors said that a search for the Alx Solutions office and Geng and Yang phones last week revealed “incriminating communications”, including communications on china china shipping by Malaysia to escape American export restrictions.
Geng and Yang face a maximum sentence of 20 years in prison if they were sentenced under the Export Control Reform Act.
Al Jazeera could not immediately find the accused’s lawyers to comment.
NVIDIA, based in Santa Clara, California, said the case has shown that “smuggling is a non-start”.
“We mainly sell our products to well-known partners, including OEMs (manufacturers of original equipment), which help us ensure that all sales are in accordance with the American export control rules,” said a company spokesman.
“Even exporters and relatively small shipments are subject to an examination and an in -depth examination, and any diverted product would have no service, support or update.”
The US government has prohibited the export of the most advanced fleas to China in the middle of an animated battle for technological supremacy between Washington and Beijing.
US officials said restrictions, many of which have been introduced by former American president Joe Biden, are necessary to protect national security.
China, which retaliated with its own export controls against the United States, accused Washington of having undergone world trade and abused of its domination in technology.
Last month, NVIDIA CEO, Jensen Huang, announced that Washington agreed to reverse his ban on selling his GPU H20 to China following discussions with US President Donald Trump.
Huang said the lifting of the H20 export ban, which was specially designed for the Chinese market and is less powerful than H100, would encourage “nations in the world to choose America” for their AI models.
