

they’ll just blow their chip fabs
The US has said they will blow them up “for them”. TSMC is supportive of US puppetted militarist fascism in Taiwan, but has backfired a bit from Trump. Tarriffs on Taiwan, and more restrictions on Chinese operations. TSMC definitely wants to avoid war even if it likes politicians that hype up weapons gifts, but also independently subsidizes it.
War is going to depend on US dictated decoupling, that black market can’t get around. The fascists will have a hard time trusting US backing for the island, as Trump has been softer on China than Taiwan so far this year.

China has made massive breakthroughs. In chips, SMIC/Huawei are advancing impressively in terms of products, but it is unclear how good yields/costs are, even if they are shipping commercial products.
Still, this PR does give hints that this is Garage hacked EUV with cannibalized parts they cannot make yet, and 4 year time scale is far out enough. There was PR of EUV breakthrough this spring too, and don’t recall if this claim is additional advancement over that.