Export approvals stuck in backlog
The U.S. Bureau of Industry and Security has lost roughly 20% of its licensing staff, creating a backlog that has stalled approvals for Nvidia and AMD AI‑chip exports to China. (tomshardware.com) That administrative drag means even chips cleared in principle—like Nvidia’s H200—haven’t shipped, turning licence processing into a material delivery and revenue risk. (tomshardware.com)
The office that approves United States exports of advanced chips has become a bottleneck, and Nvidia and Advanced Micro Devices are waiting months for China licenses that still have not turned into shipments. (bloomberg.com) Bloomberg reported on April 10 that the Bureau of Industry and Security lost nearly 20% of its rulemaking and licensing staff over the past year. The same report said approvals for chipmakers and other exporters are now stretching for several months and have created billions of dollars in backlogs. (bloomberg.com) The Bureau of Industry and Security is the Commerce Department office that reviews exports of “dual-use” goods, meaning products with civilian and military uses. The Government Accountability Office said in June 2025 that the bureau’s workload had expanded for years while it still lacked a long-term workforce plan. (gao.gov) On January 13, 2026, the bureau changed its policy for Nvidia H200, Advanced Micro Devices MI325X, and similar chips from a presumption of denial to case-by-case review for China. The rule took effect immediately and required companies to show that exports would not cut supply to United States customers, that Chinese buyers had compliance procedures, and that the chips had passed independent testing in the United States. (bis.gov) That policy shift did not mean automatic sales. Reuters reported on February 3 that Nvidia’s H200 sales to China were still in limbo nearly two months after President Donald Trump approved exports, pending a United States national security review. (usnews.com) The backlog now reaches beyond one company or one destination. Bloomberg said the delays affect products slated for United States allies as well, while the bureau is also handling new tariff investigations and export decisions tied to the Trump administration’s trade agenda. (bloomberg.com) The bureau’s own website shows how much extra licensing work has piled up. On April 7, 2026, it extended through December 31, 2026 a separate timeline for “authorized integrated circuit designers,” saying the extension would give companies more time to apply and give the agency more time to process the applications. (bis.gov) For Nvidia and Advanced Micro Devices, the delay is commercial as much as regulatory: chips that can be reviewed case by case still cannot generate revenue until an individual license is signed and the hardware ships. The bottleneck has turned a policy opening announced in January into a paperwork queue still unresolved in April. (bis.gov)
