US export controls on artificial intelligence chips to China were "a failure", Nvidia Chief Executive Jensen Huang has said.

The US Commerce Department issued guidance last week alerting businesses to the risk of violating US export controls by using Chinese chips.

Huang's comments came on Wednesday after China on Monday urged the United States to "immediately correct its wrongdoings" and stop "discriminatory" measures following the US guidance warning companies not to use advanced computer chips from China, including Huawei's Ascend AI chips.

The US action seriously undermined the consensus reached at the high-level bilateral trade talks in Geneva, a statement from China's commerce ministry said, vowing resolute measures if the US continues to "substantially" harm China's interests.

Huang, speaking at the annual Computex event in Taipei, said Nvidia's market share in China dropped to 50 percent from 95 percent at the start of former US President Joe Biden's administration.

“Local (Chinese) companies are very talented and the export controls gave them the spirit and energy and government support to accelerate their development. I think the export control was a failure,” Nikkei Asia quoted Huang as saying.