I don't think you're wrong, I'm just not sure how it relates to what I said.

The fact it runs on profit is not the deciding factor in this case. If the RAM manufacturers had more capacity, they would profit even more. The main problem is that those factories are huge investments that you would need to commit until the finish-line successfully without going bankrupt before you will be able to produce anything. China can take this risk because state funds and actual geopolitical justifications. Western countries can say to themselves too easily that they can keep buying it from Asia, which causes no countries or investors to want to commit to a similar project.

More or less, though they recently bought their way in to a domestic EUV foundry so their coveting of TSMC will likely reduce in the near future as that comes online.