There’s a difference between self-sufficiency and state of the art. China can be self-sufficient without having cutting edge technology.

For most military applications, 28nm process is comfortably sufficient - USAF 5th generation aircraft were designed and flying before 28nm.

I’m not convinced that there is any real need right now for <14nm process besides striving for market share. Market share which is itself reorganizing around new ISAs. EUV is a (amazingly clever) Rube-Goldberg machine.