This is 💯 valid.  The median wage in China is now almost exactly the same as the median wage in the US.  It isn't cheap labor any more it is LESS regulation in COMMUNIST China.  

It is also the technical knowledge there.  When your top tech talent is drawn from 1.7 billion you have more top talent than when drawn from 330 million. 

Same reason High School sports teams are in A, AA, AAA, etc. based on student count.

nostr:note1qw9t3dglschkwz5jcmjywq6c5kdewnz7ct9ljuygd6svm6mz4vlswzyq5l  

 We also made a massive transfer of manufacturing technology starting in early 90s and accelerating in the 2000s. The auto industry started it. The best analogy I can think of is that we were Starfleet and we violated the Prime Directive on a backward world. Every American should go to Shanghai and see how very far behind the US now is. New York looks like the third world shithole it is, by comparison.