The counter is that you have to cut a lot more corners to be price competitive in a country where labour is dear.
There is a side issue that you learn by doing. As more stuff is made in China their skills grow. As less is made in the US their skills diminish. I think there will come a time when the US can no longer match Chinese quality.
Finger Bun,
We'll we certainly did that in Japan, I remember that Alverez, was started by St. Louis Music so they could compete directly against Gibson and Martin at a lower price point. I think Walt Kelly's pogo put it best. "We Have Seen The Enemy and It Is Us". Not you and I specifically but definitely us.
I do think that perception of quality can badly skew the facts however. Chevrolet makes (made?) a very nice new Impala in Kansas City. It got great reviews and kudos from Consumer Reports . I believe it also cost less, but guess what, no surprise really, Toyota's, Hondas, and Nissans out sold it.