US chipmakers fear they are ceding China’s AI market to Huawei

The semiconductor industry has lobbied two presidential administrations to go easy with restrictions on selling cutting-edge computer chips to China. Jensen Huang, CEO of Nvidia, the world’s leading artificial intelligence chipmaker, even traveled to the Mar-a-Lago resort in Florida this month to discuss policy with President Donald Trump.

But with the Trump administration putting new curbs on AI chip sales this week, it is clear that the industry’s pushback has failed. The fallout has set off a scramble among chipmakers to reset expectations for a…