It would be impossible for me to reply to this thread without using hardware manufactured in China...either via phone, iPad or laptop. The only real differentiator from China, vs. somewhere like Germany, is they will design exactly what you tell them to. If it's got inherent defects, that's what they'll build. It's all about having the right design specs. As mentioned up-thread, more mature manufacturing companies will ask questions and suggest improvements (and charge 3x as much, of course). Any company looking to manufacture to a budget would be foolish to not consider China; the art is deciding which parts, ensuring the design specs are rock solid, and having someone there during the first manufacturing runs to validate everything is within spec.
But the theory that everything made in China is crap is entirely flawed, they have excellent manufacturing and supply chain capabilities, but yes, the working conditions and other elements need massive improvement. Just like western countries went through during the industrial revolution. At that point, there might be more of a cost-parity with other nations, but it'll be a while.