I will be very surprised if China can’t make their own competitive AI chips soon.
Huawei and SMIC are steaming ahead as much as ever despite the sanctions.
USA is sorely mistaken if they think they still have the upper hand against China. USA is also losing soft power fast with old allies, and this has already resulted in ASML opening office in China again.
Probably because China has figured out the basics of how to make EUV themselves, so it’s only a matter of time before ASML becomes irrelevant in China, Unless they ignore American demands of sanctioning China completely, terms which demand ASML can’t even maintain already delivered equipment!

We are already seeing clear signs of Europe ignoring American demands, and USA losing their power. Because they are alienating allies.

And Trump weakening USA in that regard is emboldening China to fight back. Denying USA access to crucial rare earth minerals, That ultimately will result in American EV products to become inferior on both engines and batteries.