March 5 (Reuters) - Nvidia has stopped production of chips intended for the Chinese market, betting that regulatory barriers in the U.S. and China will continue to limit sales to the world's second-largest economy, the Financial Times reported on Thursday.

The U.S. chipmaker has reallocated manufacturing capacity at Taiwan Semiconductor Manufacturing Company away from making H200 chips to its next-generation Vera Rubin hardware, the report said, citing two people with knowledge of the matter.

Reuters could not immediately verify the report.

(Reporting by Shivani Tanna in Bengaluru; Editing by Rashmi Aich)