The US and China are both preparing for war in the near future. China is building up their military power extremly fast, pumping out jets, ships, missiles, drones etc. and US is doing what it can to slow them down. It is inevitable that China will be able to manufacture their own chips, nothing will stop them.

Economic interests are lower priority.

Success is slowing down China.

Long term, China is inevitably going to develop its own super intelligent AGI, and without those pesky safety filters.

Slowing them down gives breathing room.