The CCP wants a military that can win against the counterparties in a Taiwan takeover, but the US (and probably a few other countries too) don’t want that because of the intellectual property that has been entrusted to TSMC.
The technological trade war is part of the military technology war. However, the US has been fighting military technology wars for over half a century now, so it at least has some practice.
EUV lithography is probably the most powerful military technology that can be stolen since the atomic bomb.
That’s how you lose an election, and you’ll spend every night after thinking about how right you were.