http://en.wikipedia.org/wiki/Saab_JAS_39_Gripen
To give some perspective on the stealth fighter issue, if T-50 production is really held to 12 aircraft, and the surviving prototypes are rebuilt to production standards, the resulting number is about a squadron's worth of aircraft. Meantime, the United States has already completed manufacture of 195 F-22s and is scheduled to build between 2400 and 3100 F-35s for the United States and its allies. A little over 100 F-35s have already been produced.
To end on a note of sarcasm, the article notes that Russia's defense financing problems are tied to declines in the price of oil. I'd say that it is also tied to what you do with the oil. Russia merely exports the oil as a raw material. By contrast, China turns some of the oil it imports in consumer goods which it sells back to the world. If Russia would just simply start making good quality, competitively priced consumer products, the world would beat a path to their door and production of the T-50 could resume. A dream to be sure...
If China fights the United States in the future, it will do so with weapons largely financed through the purvhase of consumer goods at Wal-Mart.
Oddly enough, the Chinese are more inclined to protect property rights and thus can welcome those factories and investors. Then there are the cultural differences, specifically the work ethic of the Russian people versus that of the Chinese people. They are as different as Finns & Greeks.