If that were true, it would not be economically feasible to employ the tiny number of workers in China or India to run the machines to produce products for sale in the US, and then incur all the handling and shipping cost to the US.
Makes it just like those Korean auto plants are about 100 miles offshore California or North Carolina, and China is really not as far, in terms of shipping costs, as Kansas City KS is from Louisville KY.
NOTE: The United States has only two great rivers to provide shipping to the interior ~ but that's all China has either. Europe has several. Africa has one. South America has two.
The navigable distance of the local waterways combined with modern international container shipping systems make many countries next door neighbors. Combine that with fiber optic communications capability, and the great manufacturing centers of China are a local phone call from the great manufacturing centers of America and Europe.
One disturbing trend is the US, and China, are losing port city frontage on the major rivers or the world ocean. We are backed up by the otherwise little used Gulf of California so we can expand into Mexico (See I35/I69 routing into Mexico). China can't do that readily without moving into areas now owned by Russia.
I don't follow your logic... For very, VERY low cost products the cost of capital equipment in the US is too high; it's still cheaper to do it with lots of little fingers moving quickly. But modernization is sweeping through China, and even those jobs are starting to move to Vietnam and Laos as the cost of labor is even cheaper.
The cost of shipping is a LOT less to send from China to the US! For example, consider a 2-3 day express delivery of a letter. From the US, it costs me about $45 via the USPS (cheaper than UPS or Fedex). From Shanghai, it costs me 60 RMB - about $9. Same delivery time, same paperwork, same package, just direction is different.
Labor costs are an issue for some things, but it's mainly structural in effect - unions, benefits, OSHA requirements and the like.
For manufacturing - an industry I work in - automation is the hue and cry and it absolutely decimated the US workforce, and is starting to do the same here in China, too. It's the number one worry for the Chinese Government - things are moving so fast they'll never have their "golden 50s/60s" of manufacturing. It'll jump straight from the 20s-30s-40s of emergent agricultural right to modern manufacturing of the 90s and 2000s, and never let a huge manufacturing workforce become entrenched for a generation or two.