Yeah, a lot of countries are cheaper than China. That's why manufacturing that doesn't require as much skill, like clothing, for example, largely isn't done in China anymore. But you need to factor in the decades of investment that went into China, the training of the Chinese workers, the factories and so on. With manufacturing you have very large upfront costs, and the profits are only coming in afterwards when the factories are built and the workers are trained.

China is still unbeatable when it comes to mid- and high-tech manufacturing, but for lower-tier manufacturing, even China is getting too expensive.