Chinese Inspur Group Allegedly Circumvented US AI Chip Sanctions Via California Subsidiary
Chinese company Inspur Group allegedly continued supplying approximately $5.6 billion worth of advanced AI chips from the US to China between April 2024 and February 2026, despite being blacklisted by Washington over security concerns, according to a New York Times investigation.
After US authorities blacklisted Inspur in 2023, the company renamed its California operations to Aivres and continued functioning from the same offices with the same staff while serving its Chinese parent company's business. The subsidiary allegedly exported over $3 billion in AI servers equipped with Nvidia's latest Blackwell chips, which were initially diverted through Southeast Asia before reaching China, based on trade records analysed by ImportGenius and NYT.
The case highlights US concerns about Chinese firms accessing cutting-edge technology, particularly high-end computer chips, which officials worry could be used for military operations, hacking and surveillance. Chinese AI companies are reportedly narrowing the performance gap with American competitors, raising fears they may be leveraging US technology.
