By Jarrett Renshaw and Karen Freifeld WASHINGTON/BEIJING/HONG KONG (Reuters) -Nvidia's planned resumption of sales of its H20 AI chips to China is part of U.S. negotiations on rare earths, Commerce Secretary Howard Lutnick said on Tuesday,

Similar to Nvidia, AMD is now also poised to restart Chinese sales of its MI308 chips. The California-based company said in a statement that the Commerce Department was moving forward with license applications for these exports to China, and that it plans to resume shipments as those licenses are approved.

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.