Two Chinese Nationals Arrested for Illegal Nvidia AI Chip Shipments to China
Two Chinese nationals in California were arrested for illegally exporting tens of millions of dollars’ worth of advanced AI chips, including Nvidia H100s, to China, the US Justice Department announced Tuesday.
Chuan Geng, 28, from Pasadena, and Shiwei Yang, 28, from El Monte, ran ALX Solutions, which shipped these chips and other tech without US Commerce Department licenses from October 2022 through July 2025.
ALX Solutions was founded right after the US imposed strict export controls aimed to slow China’s military tech development. The company made over 20 shipments to freight firms in Singapore and Malaysia—known transit points for smuggling to China, according to an affidavit filed with the complaint.
Payments came directly from Chinese and Hong Kong companies, not from the freight forwarders. ALX alone bought 200+ Nvidia H100 AI chips from Super Micro Computer between August 2023 and July 2024, using false customer locations in Singapore and Japan.
One 2023 invoice declared a $28.4 million shipment to Singapore, but US export control officers could not verify the delivery, and the listed company didn’t exist.
Nvidia responded:
“This case demonstrates that smuggling is a nonstarter,”
“We primarily sell our products to well-known partners…who help us ensure that all sales comply with U.S. export control rules.”
“Diverted products have ‘no service, support or updates.’”
Super Micro said it “firmly” complies with US export rules and cooperates with authorities but couldn’t comment on ongoing legal matters.
Geng appeared in LA federal court Monday and was released on $250,000 bond. Yang, who overstayed her visa, has a detention hearing set for August 12.
Lawyers for both defendants have not responded to comment requests.