>clearly China is capable of catching up with ASML’s tooling
The only thing clear to me is precisely the opposite. Nobody has been able to catch up with ASML, including China. If China is capable of catching up on their own (without espionage), why would Taiwan even matter? Why would export controls on ASML tooling even matter?
They matter because ASML and TSMC are companies built on secret know-how that others can’t replicate. Do we really need to explain on HN that companies are built on secrets?