Only a few years ago, the Biden administration declared export controls a “new strategic asset” to help the US maintain “as large a lead as possible” over China in advanced technology. President Donald Trump is now upending that approach.

With help from a longtime Silicon Valley investor turned White House insider, Mr. Huang got the administration to reverse course on restrictions.

Washington has been concerned China could use Nvidia’s chips to get a jump on the U.S. in high-tech fields, particularly when it comes to artificial intelligence.