Its not possible to "slap sanction" on a commodity items like commodity SoC. You can deny technology but trying to ban sale of commodity items is very very very hard to implement. There are many ways it will get circumvented. Supply chains in this are pretty long. You can ban sale of SoC chips, but can you ban the sale of PCB with SoC mounted? Or PCBs with SoC mounted together in a knocked down kit? At one point or the other you realize, its too difficult to enforce such a ban.
What is a chip ban btw?
Any chip having a core that is designed in America?
Any electronic PCB having such a chip?
Any SoC having such a core with other cores?
How and at what point will you ban it? And how will you enforce it? Who is going to check every single SoC or every single PCB? How will you prove that someone has violated the ban? Who will police it?
If you try to ban Indian companies from ordering their SoCs getting fabricated in Taiwan, here is what will happen. Indian companies will go to one those SoC consultant services in South korea or Japan. They have their own standard SoCs which they will sell it in bulk at the process you select. You configure it, make a PCB and make your products.
Best you can do is what US is doing with Huawei. Ban sale of IP cores and software tools and put policies to deny access to market. But those bans are also becoming meaning less. Those are policy and technology bans and not product or manufacturing access bans.
One cann't legislate the reality.
You can ban the sale of anything you want if you are the US or later China.
You haven't considered conditions where both can act against you for their own common goals. It's not difficult to do it when there's consensus. Even in an entirely unrelated event, sometimes even without being targeted specifically. Especially so during war. A 5-year war between US and China in the Pacific will mean disruption of business activities between Taiwan, Korea, Japan and India due to the loss of connectivity. Then the US becomes the only available market, which they can use as a leverage to gain a significant advantage over India simply because our citizens can't buy a phone.