Trump's AI and Energy Investments to Boost Chip Stocks Amid Lifting of Restrictions

The Trump administration plans to announce $70 billion in AI and energy investments in Pennsylvania, boosting stocks like Nvidia, AMD, and Taiwan Semiconductor Manufacturing Co. The US government also lifted certain chip export restrictions to China, further driving up chip stocks. The move aims to counter China's aggressive advancements in AI and maintain US technological superiority.

The Trump administration is set to announce a $70 billion investment package in artificial intelligence (AI) and energy infrastructure, with a focus on Pennsylvania. The announcement will take place at the inaugural Pennsylvania Energy and Innovation Summit, hosted by Republican Senator David McCormick at Carnegie Mellon University. This initiative aims to accelerate U.S. leadership in AI and energy while countering China's aggressive advancements in these fields [1].

The investment plan, sourced from various public and private entities, will be directed towards several key areas, including the construction of next-generation data centers, expansion of clean and traditional power generation, upgrading of grid infrastructure, and launching AI training programs and apprenticeships [2]. This announcement comes amidst a broader effort to merge AI and energy as strategic pillars for economic and national security.

The summit is expected to attract over 60 industry leaders across the AI and energy sectors, including top executives from companies like BlackRock Inc., Palantir Technologies Inc., Anthropic, Exxon Mobil Corp., and Chevron Corp. [2]. The gathering underscores bipartisan interest in technology and energy leadership, as well as the growing role of corporate capital in driving national competitiveness.

The $70 billion investment plan is expected to generate significant economic benefits for the Pittsburgh region, which is uniquely positioned to become a world leader in AI. The region boasts abundant energy resources, empty industrial sites ready for data center development, and a culture of innovation. One notable project is the planned transformation of Aliquippa, a former steelmaking center, into a data processing hub for the AI economy [1].

The announcement coincides with the U.S. government lifting certain chip export restrictions to China. Nvidia Corp. confirmed that it is filing applications to resume sales of its previously restricted H20 GPU to clients in China. This move follows a meeting between Nvidia CEO Jensen Huang and U.S. President Donald Trump, during which Huang reaffirmed Nvidia's support for the administration's job creation and onshoring efforts, as well as the aim for America to lead in global AI [3].

The lifting of export controls on the H20 chip is expected to have a significant positive impact on Nvidia's business, particularly in the Chinese market. The resumption of H20 shipments, alongside the upcoming rollout of new export control-compliant AI chips for the Chinese market, should serve as a fresh growth catalyst for the company [3]. This development has driven up stock prices for AI chip companies, including Nvidia, AMD, and Taiwan Semiconductor Manufacturing Co. [4].

The Trump administration's move to invest heavily in AI and energy, while also easing export restrictions, signals a strategic shift aimed at maintaining U.S. technological superiority and countering China's advancements in these critical sectors. The Pittsburgh region, with its rich energy resources and innovative culture, is poised to become a major beneficiary of this investment plan.

References:

[1] https://www.cbsnews.com/pittsburgh/news/trump-mccormick-pennsylvania-ai-energy-investments/
[2] https://site.financialmodelingprep.com/market-news/trump-to-announce--billion-in-ai-and-energy-investments-in-pennsylvania
[3] https://www.cnbc.com/2025/07/15/nvidia-says-us-government-will-allow-it-to-resume-h20-ai-chip-sales-to-china.html
[4] https://www.benzinga.com/markets/tech/25/07/46412125/trumps-latest-move-on-ai-and-china-propels-chip-stocks