It's to ensure that companies that the DoW relies on don't build on top of a product that isn't fit for DoW work.
You seem to be agreeing with this designation in a way. The DoW essentially said "Pen company won't let us use their pens as neutron-flux regulator rods, so anyone building power plants for us isn't allowed to use these pens as neutron-flux regulator rods".
What is the problem you have with that?
(and yeah, there might be a completely legitimate reason to stop your subcontractors from using HuaweiSpyPens, but determining that ACME Pens is just as dangerous because they refused your neutron flux regulator order looks like a punitive measure, not practical risk reduction)
Mind you, that is not the DoW’s charter. How would a restriction on that be “unfit” as you say?
The DoW is perfectly within their rights not to purchase anthropic products. That’s different than labeling them a supply chain risk.
That's not how it works.