We have all sorts of stringent trade restrictions with all sorts of countries out there. This is nothing new. I spent several years supporting Export Controls for the extremely large computer manufacturing company that I currently work for--- the government has no problem restricting trade when it desires to do so. And companies always manage.
In many ways cutting trade ties with China is simple for us-- far simpler than it would be for many other countries. In the grand scheme, we don't export all that much in finished goods to China. Indeed, by their own design, China imports very little from anyone. On the flipside, China relies heavily on exports to the USA and the West. So from the perspective of trade balance, severing all ties with China would hurt them a lot more than it would hurt us. Sure we'd need to develop new partners to fill the gap, but there are no shortage of more amicable partners globally, willing and able to do so.
The trickiest part, is untangling our own US-owned corporate manufacturing dependence from China. But as we've discussed here several times, for several reasons, China is no longer considered a Low Cost Manufacturing Nation for a majority of the goods that US companies have outsourced there. There are now numerous countries that can manufacture at lower costs, and that don't involve the omnipresent CCP... entanglements... that US companies must currently endure.
It took decades to get this mixed up with China, and it would take a long time to disentangle. But it's not impossible, far from it. Many companies are already engaged in the first steps. The current challenges with the global supply chain, many of which originate in China, have put domestic companies on red alert. It's not being taken lightly.
