U.S. President Donald Trump's administration is considering tightening restrictions on artificial intelligence leader Nvidia's sales of its H20 chips designed for the China market, Bloomberg News reported Wednesday.

Conversations to restrict shipments of those chips to China are in very early stages, according to the report. H20 chips can be used to develop and run AI software and were designed to meet existing U.S. curbs on shipments to China, spearheaded by Democratic former President Joe Biden's administration.

The White House did not immediately respond to requests for comment. Nvidia said in a statement it is "ready to work with the administration as it pursues its own approach to AI."

Nvidia shares, which were already down for the day, added slightly to losses after the news.