A one-two punch from the United States risks shattering the already fragile trade war truce between Washington and Beijing, with Chinese tech companies and students both dealt shock blows by the Trump administration Wednesday night.

China reiterated its call for the U.S. to abolish its tariffs after a panel of federal judges ruled that President Donald Trump did not have the authority to introduce them under the emergency powers he had used.

In his first term as president, Donald Trump banned China’s Huawei from using American EDA tools. Huawei is seen as an emerging competitor to Nvidia with its “Ascend” AI chips. Nvidia chief executive Jensen Huang recently warned that successive attempts by American administrations to hamstring China’s AI ecosystem with export controls had failed.

President Donald Trump's administration has ordered U.S. firms that offer software used to design semiconductors to stop selling their services to Chinese groups, the Financial Times reported on Wednesday,

Trump targets China’s chip dreams, blocking top U.S. software tools vital to designing AI and advanced semiconductors.

Even as Nvidia reported another blockbuster quarter of 69% sales growth on Wednesday, the maker of artificial intelligence chips warned of more risks to its business emerging in the technology conflict between the U.

Tucked into its quarterly filing, Nvidia for the first time said restrictions on the use of open-source AI models from China could hurt its business.

Though he 'trusts' President Trump, Nvidia CEO Jensen Huang says banning sales of its H20 GPUs to China means that $50 billion market 'is effectively closed to US industry.'