They panicked when they saw Russia get cut off by the West due to the Ukraine invasion, since they hope to take over Taiwan in Xi's lifetime...and when they saw what was happening to Huawei, among others.

So, the order went out: Most PRC based companies were required to reduce their exposure to western supply chains...China-only supply chains were required unless specific exceptions were granted by the PRC.

Western companies saw orders dropping, affecting their bottom line. How were they going to meet the Street's and the City's quarterly expectations?

Answer: change revenue from profits on goods manufactured in the west, and instead, make money on licensing revenue from China corporations. Basically, US companies find a PRC corporate partner, and teach them how to practice western technology in exchange for licensing revenue. Tech transfer from the US to PRC. PRC companies then have China-only supply chains. No imports; western tech is made in China.

When China invades Taiwan, and the West moves to terminate the license agreements, the China corporations will just ignore the terminations. They will continue manufacturing western quality goods with western technology, but they will do so free of charge because they will be released under PRC law from having to pay the license fees.

Western companies are betraying the West in the long term, in order keep their stock values up in the short term...and China imports less and less. We are helping them become an independent power.