Consciousness isn't an extra-physical property. That's the belief.
I don't take offense to being called reductionist, I take offense to reductionism being said pejoratively. Like how creationists say it. It's obvious to me that going deeper, understanding the mechanisms behind things, makes them richer.
The thing that makes your argument tricky is we do have evidence now. Computers are unambiguously exhibiting behaviors that resemble behaviors of conscious beings. I don't think that makes them conscious at this time, any more than animals who exhibit interesting behavior, but it shows that this mechanism has legs. If you think LLMs are as good as AI is ever going to get that's just really blinkered.