I don't really see it as a problem for Apple as it's really half consumer good and half "luxury" company that will always sell well to people wanting to "flex" . Chinese companies still doesn't have that "brand" image YET. This is were the soft-power matters to building brand and image. But its a fun title to poke the China-haters though.
In reality, China is turning from a supplier to western companies into a direct competitor. The days when western companies could use cheap Chinese components, and its hyper-competitive factories, to lower their costs and fatten their profit margins are long over. Instead, they face increasingly brutal competition from aggressive, well run Chinese rivals now moving into mainstream consumer markets.