To be fair, China is a AI powerhouse in its own right. China is investing a lot of its money domestically on this problem as well. Lots of legitimate papers come from purely Chinese teams. ResNet was developed by a purely Chinese team. A lot of very important open source machine learning software out there is written almost entirely by Chinese nationals.
It's important to note this because shutting down Silicon Valley/US access to Chinese VCs and companies won't necessarily just harm them. It would harm us as well. It does need to be looked at though, just carefully.