US arrests Earthmade Computer CEO over alleged Nvidia chip smuggling to China

The case highlights how restricted AI hardware can still move through intermediaries, putting more pressure on export enforcement and supplier oversight.

US authorities have arrested Greg Lui, the CEO of Earthmade Computer, over an alleged scheme to move more than $300 million in Nvidia servers and chips into China by routing shipments through Malaysia and Singapore and using false paperwork. The case matters because it shows how export controls on AI hardware are being evaded at scale, despite tighter US restrictions meant to keep advanced compute out of China. Prosecutors say the shipments included Nvidia A100 and H100 GPUs and that Lui, also known as Yiu Kong Lui, could face major prison time if convicted. The arrest adds to growing pressure on Nvidia and its supply chain, as officials and critics say smuggling networks are exploiting Southeast Asian intermediaries and weak due diligence.