BYD Confirms Backup Plan Amid Potential Nvidia Chip Restrictions

BYD has proactively developed contingency plans should China restrict access to Nvidia's AI chips, according to company executive Stella Li. "Everybody has a backup. BYD has [a] backup," Li stated, though she declined to specify details. The automaker's self-reliant strategy mirrors its pandemic-era approach when it avoided supply chain disruptions through vertical integration.

The company's in-house semiconductor capabilities allowed it to navigate the global chip shortage unscathed. BYD maintains full control over core components including batteries and chipsets—a strategic advantage Li emphasized: "We have a lot of strong...even deeper technology in-house." This self-sufficiency positions BYD to pivot rapidly if geopolitical tensions disrupt Nvidia shipments.

The disclosure comes as Nvidia's H20 AI chip remains caught in U.S.-China trade crossfires. While currently approved for Chinese sale, the semiconductor's status remains subject to shifting export controls. BYD's preparedness reflects broader industry jitters about tech decoupling.