The West started to forget how to code a long time before AI. At first, it was the work visas to bring programmers in, then it was outsourcing. At this point, I'm not even sure if AI is doing more harm than good in this department as it might be able to bring some jobs back to the "West", if it turns out that it's cheaper than outsourcing.

The outsourcing was shedding more of the trivial jobs, while trying to keep key positions at home, but increasingly, it also started to lose the key positions too. It's possible that AI can make it so that the key positions will be harder to justify to outsource... but, who knows... maybe not.