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When an adversary wants to destroy your way of life, would you do nothing?

Both sides are vying to be the single pole in this world

Canutes trying to hold back the tides.

US chip manufacturers will be swamped by the flood of Chinese semiconductors in the next 5-10 years. They will meet the same fate as the US textiles manufacturers have already done.

And the Chinese had been perfectly happy buying their chips from the US until the sanctions were applied.