your speech is very enthusiastic, but is evident that you know few Chinese companies, It is a reality that competition is fierce and margins are horribly low.
The margins are low when selling domestically, they're not low when exporting, Chinese cars are a prime example, but it's not just cars.
Its simple market competition: Chinese companies have domestic competitors, but international competitors are so expensive they can run high margin and still be competitive.
Every supply chain on earth pass through China, including American defence contractors mind you, China can literally shut down every wannabe manufacturing power with export control on countless little known critical path items, the only reason China doesn't do that and Chinese companies don't run high margin is because China have bigger fish to fry than rent seek.
But if you think non-industrial nations has any leverage over a country that owns more than half of planetary industry, you need to look at what happened to Walmart after trying to negotiate just a 10% price reduction from their Chinese suppliers.
