Your premise is very narrow. Six or seven of the ten largest semiconductor companies are American. The US has a lot of big companies working in or around the semiconductor market.
If fab manufacturing is what mattered, ZTE would have never had a problem in the first place.
Those companies I referenced control a large part of the global technology industry. If you can't access their products or sell to them, you're often going to have a very hard time operating.
I believe almost no Fab manufacturing happens in the US anymore. This is why the article seems a little hyperbolic to me. I understand US companies lead in chip design, but if Asian companies are manufacturing the chips, how long will it take to reverse engineer? To add to this, many engineers working for these American Giants are Asians and can be poached back. Look how it little it took for Chinese manufacturers to produce state of the art smartphones that are "almost" Apple level.
> I believe almost no Fab manufacturing happens in the US anymore.
That's incorrect. The US has four or five dozen fabs. It's one of the largest fab manufacturers globally, along with Taiwan, China, Japan, Singapore, South Korea. The US is likely to grow its domestic fab manufacturing over the next decade, thanks to the new lower corporate income tax rate and tighter restrictions on IP exportation (those two things lured Broadcom home).
> how long will it take to reverse engineer?
That's where China faces a problem: that only works if you have no plans to integrate further into the global economy.
For the most part, the EU, North America, South America, Australia/NZ, Japan, South Korea, etc. isn't going to buy your stolen semiconductor tech.
If you're going to steal semi tech and use it as your own, at best you can only sell it domestically.
If you mean stolen chip designs, no we're likely not to want to use them ... but there are lots of smart Chinese chip designers doing great stuff - some using on licensed US IP (the ESP chips), others based on licensed Arm IP (I've lost track of who owns that), some home built.
Remember China is not just 1/4 of the world's population, it also has 1/4 of the world's smart people
Eg - Texas Instruments, Qualcomm + NXP, Apple, Intel, AMD, Applied Materials, Cisco, Xilinx, Analog Devices, GlobalFoundries, Maxim, Microchip Tech + Microsemi, KLA-Tencor, Lam Research, Marvell, Broadcom, Micron, nVidia, Teradyne, Cypress, On Semi, Praxair, Skyworks, Ambarella, Cirrus Logic, Diodes Inc, Integrated Device Tech, IPG Photonics, Semtech, Qorvo, Cavium, Mellanox (US-Israeli), Inphi, Monolithic Power, Lumentum
Now you've even got Microsoft, Google, Facebook, Amazon looking into/working on their own chips.