Huawei’s new MateBook Fold uses a SMIC-made 7nm chip, showcasing China’s tech self-reliance amid U.S. sanctions. Despite this, China lags behind TSMC’s advanced chip technology. U.S. restrictions hinder China’s access to cutting-edge chipmaking tools and AI chips, intensifying competition in the tech sector. China is pinning its hopes on Huawei and SMIC for advanced chipmaking.