That strategy didn't work for the Soviets, and it won't work for the Chicoms, either.
You don't actually believe that the Chinese developed this technology on their own, do you?
Heck, the transnational corporations don't give a flying hoot about our national security and are more than willing to give them our technology just to have cheaper launch vehicles for commercial satellites. Our own government has been funding the Russian program for over a decade now. And even the Pentagon is pushing to offshore it's sources of supply.
The American taxpayer and consumer foots the bill and receives none of the benefits.
Why? It did help Soviets. The difference is that Chinese Communists are more succesfull in the economical policy.