(Reuters) -Chinese authorities have urged local companies to avoid using Nvidia's H20 artificial intelligence chips, particularly for government-related purposes, Bloomberg News reported on Tuesday, citing people familiar with the matter.

China has urged local companies to avoid using Nvidia Corp.’s H20 processors, particularly for government-related purposes, complicating the chipmaker’s attempts to recoup billions in lost China revenue as well as the Trump administration’s unprecedented push to turn those sales into a US government windfall.

The arrangement crafted by the Trump administration is “unusual,” analysts told CNBC, but underscores the president's transactional nature.