Lots of places in the world starting to manufacturer. They have an initial advantage of cheaper labor, new facilities, no legacy costs, no "not invented here" issues, and starting at the currently most efficient point of production. Brand value, transportation, low volume feedstock costs, and startup distribution costs are the down side. The world has become vastly better at manufacturing within the last generation; many of the improvements helping make maunfacturing in low skill areas feasible.

China is reportedly starting to lose some manufacturing to lower (yet) labor cost countries; boy howdy, that didn't take long!!