What do you expect??
The OP uses a data in 2021 and say "China trounce US in all AI research output and quality"
First, AI research does not just start in 2021........If China really do get ahead of 2021, they are most likely still playing catch up.
Second, AI patent have no bearing on quality. An example I always use is you have about 5000 Patent on WIFI module, however, you only have 6 or 7 patent on Wifi Method. Does that mean a Wifi module is more advance on Wifi network coding??
You have to leave room for the best and brightest to come to the US and benefit the US, it won't work if you exclude all them because of national security.