China's overcapacity dumping of legacy chips will rob current semiconductor companies in the US, Taiwan, Korea, Japan, and Europe of the revenues they need to fund R&D, creating an 'innovation drag' where companies pull back from investments in cutting-edge technology advancement.

National Security costs associated with US export controls on semiconductors to China are significant and real, but the administration has made defensible choices based on preventing flows to PLA military and security programs, and design firms should think about long-term stability of partnerships with Chinese fabs given uncertain geopolitical futures.

Mature or legacy node semiconductors still drive much of the value and revenues that semiconductor companies receive, and those revenues go back into R&D in large amounts, making legacy chips strategically important despite being older generations

The US could also consider blocking imports of chips dumped from China and encouraging the shifting of electronics manufacturing to third countries where the dumping problem won't exist, as alternative responses to anti-dumping duties.