Yeah, the next step is to actually think "they are all potential enemies, we should produce here and be independent, so in case there is a war we can make it". Autarky is how Fascism began.
I absolute abhor a slippery slope argument that doesn't actually justify why and how this particular slope is slippery. Hand waving that something kinda sorta similar happened before is not good enough.
Why and how will keeping some chip manufacturing away from China inevitably lead to Fascism? So much manufacturing has been ceded to to China, that it is at this point reasonable to say the it is time to be careful and stop being naive about China.
It was an exaggeration, obviously. We're far from Fascism.
However, our economies are becoming more and more "local-first", after global leaders had told us that globalization was good to keep peace in the world...
