This is the reason I believe the new AI chip restriction that was just put in place will backfire.
While it is hard to predict the future, a good bet is that global trade will win out in the end on a long time frame.
Arguably China doesn't have the technology required to manufacture 30-series GPUs with the yield or unit cost Nvidia did. I wouldn't hold my breath for Chinese silicon to outperform Nvidia's 40 or 50 series cards any time soon.