Well TSMC is obviously aware of such ideas and is rapidly moving to build factories in the USA to prevent China from focusing on them. Once they have factories up and running in the USA they leverage China thinks they have will be greatly reduced. But, if China were to undertake anything like capturing or destroying TSMC in Taiwan they will be hit with sanctions every bit as tough as what Russia is dealing with. But it will be FAR worse for China -- if they do something that kicks in such sanctions then their economy will zero out overnight and hundreds of millions of Chinese will discover they were "at will" workers that are no longer wanted....
Well, that was the plan with Russia, and just consider how things are working out. The "sanctions from hell" did not, as predicted, crash the economy and cause mass revolt. Instead, the populous have taken things in stride, Putin's popular support and Russia's trade surplus have both markedly increased, and the rubble has become the world's best performing currency.
Among other reasons, the sanctioning has failed because Russians have suffered far worse and are ready to accept some short term hardship for a long term, greater good. And because Russia can survive and even thrive as an autarky. The same is true of the Chinese and China, and in one regard, even more so. China's export sector is about a third smaller than Russia's, as a percentage of total GDP, and has been gradually shrinking, according to Statista from 23% to 15% over 2011-2021.
If you are interested in the job, the U.S. may still have an opening for a supremo sanctions engineer. The fellow who led the recent effort has taken a leave of absence, for personal reasons, after his "chess playing" with Russia and Asia went badly pear shaped. His work may give you some ideas of what not to do.