Then cheating is just real world prep.
BTW informed sources tell me the top mainland Chinese students now stay in China for grad school. This changed in the last five years or so. Don't let your memories guide you.
I also particularly recall the high caste Indians as the worst bunch of cheaters in engineering school. My experience with them in the workforce has been similarly unimpressive. Many seem to think they are too good to do actual work. That makes them a natural fit as MBAs, but not as engineers.
Caste has got nothing to do with it. It depends on the type of school they graduate from.
Usually the rule of thumb in measuring the worthiness of an engineering student from India is - if he is NOT from an IIT, there is only 50% chance that he is good.
Vast majority of exceptional Indian engineers - from the guy who started BOSE corp to the co-founders of SUN, are those from IITs.