Chinese Nationals Charged in California for Illegal Export of Nvidia AI Chips to China

Chinese Nationals Charged with Illegally Exporting Nvidia AI Chips to China

Two Chinese nationals residing in California are facing charges for allegedly exporting millions of dollars worth of Nvidia AI chips, including the highly sought-after H100s, to China without proper licenses.

Allegations and Company Operations

According to the U.S. Justice Department, Chuan Geng and Shiwei Yang, both 28, operated from their company, ALX Solutions, based in El Monte, CA. Between October 2022 and July 2025, they allegedly bypassed U.S. export controls implemented to hinder China's military advancements.

The Justice Department's affidavit reveals that ALX Solutions was established shortly after the U.S. imposed stringent export regulations on technology destined for China. The company reportedly shipped over 20 consignments via Singapore and Malaysia, common transshipment hubs for illicit goods headed to China. ALX Solutions received significant payments, including a $1 million transaction from a Chinese firm in January 2024, as well as funds from Hong Kong-based entities.

The Role of Nvidia and Super Micro Computer

Nvidia's H100 chips are critical for training advanced AI models. Evidence suggests that ALX Solutions acquired more than 200 H100 chips from Super Micro Computer in San Jose, CA, between August 2023 and July 2024, falsely declaring Singapore and Japan as the final destinations. One particular invoice, valued at over $28 million, listed a Singaporean customer. However, U.S. export control officials in Singapore could not confirm the arrival of the chips or the existence of the stated company.

Both Nvidia and Super Micro Computer have released statements, with Nvidia emphasizing its commitment to export compliance and Super Micro affirming its cooperation with authorities.

Legal Proceedings

Geng was released on a $250,000 bond, while Yang's detention hearing is scheduled for August 12. They appeared in federal court in Los Angeles on Monday.