Sending manufacturing to China and other SE Asian countries is far cheaper than even Mexican labor. While 1 day's wages of a median Mexican assembly worker is less than 1 hour of a median domestic US assembly worker's wages; 1 day's wages of a median Chinese assembly worker is cheaper than 1 hour of the media Mexican worker.<p>There were some articles last year (or maybe it was 2008) about textile manufacturing in the US, and how the Chinese were subsidizing them to the point where even if the US workers worked for free, the US plants could not compete on price.<p>To understand how much manufacturing changed, I recommend reading The Box. The shipping container totally changed everything by reducing shipping costs by about 98%. A lot of cities that used to be manufacturing centers (such as NYC and Detroit) withered, and a lot of cities that used to be shipping centers (such as NYC and London) also shriveled up because they could not support container traffic.<p><a href="http://www.amazon.com/Box-Shipping-Container-Smaller-Economy/dp/0691136408/" rel="nofollow">http://www.amazon.com/Box-Shipping-Container-Smaller-Economy...</a>