US has a raging pandemic deaths, significant economic recession, and domestic turmoil and civil unrest. It has inferior bargaining position and weak leverage over China, and both sides know it. It cannot try to portray China as some boogeyman to unite the country because it's unlikely to work because Americans don't trust the mainstream media anymore. Republicans are always skeptical of Joe no matter what he does . If American public is not unified on China threat, then continuing the tech bans and trade war is a futile mission. Biden is appearing tough to give him credibility to pull back on semiconductor bans and tech bans quietly and people are going to forget about it. Republicans will cry foul but they always cry foul and sound like crying wolves about anything Biden does.
A couple of points.
In the bigger picture, the number of pandemic deaths was never that significant.
Yes, the hospitals were overloaded, but the actual death rate is less than 1%
Even if the USA were to be unified on China policy, the rest of the world is not on board with a technology and trade war with China.