“They would love to change that, but making high end chips is hard.”
The Chinese can’t make anything worth a sh!t if it requires BOTH a pristine supply chain, and process precision in the manufacturing.
Even with detailed process manuals, training, mentors on the floor. And precise, detailed engineering documents. When the experts leave, everything goes to the crapper.
Same with high-end jet engines.
I think it’s cultural.
It would be nice if China could never figure out those things, but I think they will with time.
It took Japan decades of making crap before they began to compete with American manufacturers on quality.
I would bet that in 25 years the Chinese equivalents of Intel, Boeing, and GM will be among the largest companies in the world.