China’s market regulator on Monday said that Nvidia violated the country’s anti-monopoly law, according to a preliminary probe, adding that Beijing would continue its investigation into the U.S. chip giant.

Shares of Nvidia were down around 2% in premarket trading.

Late last year, China’s State Administration for Market Regulation (SAMR) opened an investigation into Nvidia in relation to the acquisition of Mellanox and some agreements made during the acquisition. Nvidia acquired the Israeli technology company that creates network solutions for data centers and servers in 2020, in a deal that was approved by China at the time with certain conditions.

In a preliminary investigation, the SAMR said Nvidia had violated China’s anti-monopoly laws in relation to that acquisition and its conditions. China’s market regulator did not specify how Nvidia allegedly breached the country’s laws.

CNBC has reached out to Nvidia for comment.

The update from the SAMR has the potential to complicate trade talks between Chinese and U.S. officials that began on Sunday in Madrid, Spain.

Tensions between Beijing and Washington appear to be on the rise on the technology front. China opened two separate probes into semiconductors on Saturday: one is an anti-dumping investigation into certain chips imported from the U.S., while the other is an anti-discrimination scrutiny of U.S. restrictions on China’s chip industry.

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The U.S. and U.K are expected to sign a flurry of major new deals during U.S. President Donald Trump‘s state visit to Britain this week, seeking to kickstart a “golden age” of nuclear power.

Some of the multi-billion-pound agreements set to be inked include plans by U.S. and U.K. companies to build up to 12 advanced new modular reactors in Hartlepool, a port town in northeast England, and a push to develop data centers powered by small modular reactors (SMRs) in Nottinghamshire.

The cross-Atlantic partnership is hoped to generate thousands of jobs, speed up the process of building new nuclear power stations and unlock billions in private investment.

U.K. Prime Minister Keir Starmer on Monday said the two countries were “building a golden age of nuclear” that would put them “at the forefront of global innovation and investment.”

The deal announcement reaffirms both the U.S. and U.K.’s embrace of nuclear power, particularly when it comes to fueling the energy-intensive data centers needed to train and run massive artificial intelligence tools.

X-Energy, a U.S.-based company aiming to develop high-tech nuclear plants, and British Gas owner Centrica said the Hartlepool plans would generate enough power for up to 1.5 million homes and create up to 2,500 jobs.

The companies also estimate the overall program could deliver at least £40 billion ($54.25 billion) in economic value.

U.S.-based Holtec meanwhile said plans to build advanced data centers powered by SMRs in Nottinghamshire would be worth around £11 billion. The project is set to be jointly developed by Holtec, EDF and Tritax.

SMRs promise to have smaller and lighter footprints than traditional power plants, potentially making them cheaper and quicker to build when they are fully commercialized.

Amazon and Google both signed deals last year to develop SMRs in the U.S., as tech giants increasingly turn to nuclear power to fulfill the growing energy demands of data centers.

As it is low-carbon, advocates argue that nuclear power has the potential to play a significant role in helping countries generate electricity while slashing emissions and reducing their reliance on fossil fuels.

Some environmental groups, however, warn that the nuclear industry is an expensive and harmful distraction from cheaper and cleaner alternatives.