Chinese nationals accused of bypassing US export controls on AI chips
The DOJ states that Nvidia AI chips worth millions were exported from the US to China without licences, with payments channelled through Hong Kong and mainland companies.
Two Chinese nationals have been charged in the US with illegally exporting millions of dollars’ worth of advanced Nvidia AI chips to China, violating the export controls.
The Department of Justice (DOJ) said Chuan Geng and Shiwei Yang operated California-based ALX Solutions, which allegedly shipped restricted hardware without the required licences over the past three years.
The DOJ claims that the company exported Nvidia’s H100 and GeForce RTX 4090 graphics processing units to China via transit hubs in Singapore and Malaysia, concealing their ultimate destination.
Payments for the shipments allegedly came from firms in Hong Kong and mainland China, including a $1 million transfer in January 2024.
Court documents state that ALX falsely declared shipments to Singapore-based customers, but US export control officers could not confirm the deliveries.
One 2023 invoice for over $28 million reportedly misrepresented the buyer’s identity. Neither Geng nor Yang had sought export licences from the US Commerce Department.
Yang was arrested on Saturday, and Geng surrendered soon after. Both appeared in a Los Angeles federal court on Monday and could face up to 20 years in prison if convicted.
Nvidia and Super Micro, a supplier, said they comply with all export regulations and will cooperate with authorities.
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