to deal with this containment policy.

First China need to understand the situation, is it just the US that want to contain China, or are the europeans and other nations also join the policy? If only the US, then the US will force other nations corporations like ASML to not sell to China if their tech contain US tech. So in the short term China need to focus on replacing the US tech and invest money to cooperate with those corporations to replace the US tech on the products sold to China. I think this is more reasonable approach rather than seeking 100% independence from foreign tech, which will take a much longer time frame, much bigger investment, with questionable result. More on the plus side, by sharing the cake, it will also prevent other countries from joining the US to contain China.

In medium term, China should also invest in future tech, like quantum chips, etc. Preferable if China can also recruit other countries like EU, South Korea, Japan and Russia to join the endeavor. This will also again prevent them from joining the US containment policy.

For long term, China can aim for self sufficiency but still in collaboration with other nations. We can never live alone in this world.