US companies are growing increasingly concerned that the ongoing—and escalating—US/China trade war will ultimately backfire, costing them the AI race.

The Trump administration has moved aggressively to impose tariffs on Chinese goods, as well as expand restrictions on China’s access to American tech, especially advanced semiconductors and GPUs that can be used in AI development.

According to The Economic Times, however, US chipmakers are increasingly worried such actions may ultimately hurt them more than help. In particular, by restricting China’s access to US chips, US companies are effectively locked out of a critical market.

“For the U.S. semiconductor industry, China is gone,” said Handel Jones, an International Business Strategies analyst, told the outlet. Jones predicts that Chinese chips will dominate all parts of the Chinese market by 2030.

Huawei, in particular, could benefit from US restrictions, helping the company further recover from being blacklisted by the US Commerce department. Once one of the dominant smartphone makers, Huawei was essentially crippled by US sanctions. In the aftermath, the company had to sell off its Honor brand of smartphones.

Huawei has already made significant changes to its business in an effort to work around US sanctions, while simultaneously surprising the industry with its ability to continue creating advanced semiconductors.

As US restrictions continue to limit US companies’ ability to sell to China, Chinese companies will likely turn to Huawei for their semiconductor needs. With the additional investments, Huawei could well have the resources it needs close the technological gap with US and Taiwanese chipmakers.