Nvidia's shares fell 6% in after-hours trading after the company revealed it anticipates incurring around $5.5 billion in charges due to US export restrictions on its AI chips to China. The news came following a regulatory filing on April 15, which disclosed that Nvidia would need export licenses for its H20 integrated circuits and similar products. The restrictions specifically target China, Hong Kong, and Macau, aimed at preventing the diversion of products for use in Chinese supercomputers. Additionally, Advanced Micro Devices (AMD) experienced a similar decline, with shares dropping more than 7%. Nvidia's previous market performance has been impacted significantly, with shares down 22% this year, amidst concerns over ongoing trade tensions and tariff threats. Despite promises to invest in domestic chip manufacturing, these recent developments have sharply affected investor confidence in key chipmakers, underscoring their vulnerability in the face of regulatory changes.

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