A Chinese company that said it is ramping production of components to support the upcoming launch of an unannounced Nvidia AI processor retracted its press release late Thursday. Nvidia stock rose on Friday.
Shenzhen, China-based ZJK Industrial announced early Thursday that it was preparing to meet growing demand for "Nvidia's B40 project." But at 5:10 p.m. Eastern time GlobeNewswire posted a "notice to disregard" the earlier press release.
"We are advised by ZJK Industrial Co., Ltd. that journalists and other readers should disregard the news release, 'ZJK Industrial Co., Ltd. Ramps Up Production to Support Nvidia's B40 Project, Expecting Significant YoY Revenue Growth' issued on June 5, 2025 at 08:00 AM Eastern Daylight Time, over GlobeNewswire," the notice said.
ZJK makes precision fasteners and other metal parts for a variety of industries, including electronic equipment, vehicles, aerospace, energy storage systems, medical and liquid cooling systems used in AI supercomputers.
In a statement on Thursday, Nvidia said it is still locked out of China's AI data center market. It did not comment on the supposed B40 chip.
"We are still evaluating our limited options. Until we settle on a new product design and receive approval from the U.S. government, we are effectively foreclosed from China's $50 billion data center market," an Nvidia spokesperson said.
In early April, the Trump administration barred Nvidia from selling its H20 AI processor to Chinese customers on national security concerns.
ZJK Announcement-Retraction Rocks Nvidia Stock
On Thursday, after its initial announcement, ZJK stock rose as much as 20.7% to 5.82. It ended the day up 12% to 5.40.
Meanwhile, Nvidia stock seesawed Thursday, rising as much as 1.5% to 144 and ending the session down 1.4% to 139.99.
On the stock market today, ZJK stock dropped 7.4% to close at 5. Nvidia stock rose 1.2% to 141.72.
So far, Wall Street analysts have avoided discussing the ZJK-Nvidia mess.
Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
