We have a Raytheon plant (missiles, aircraft, space, etc.) here in Tucson. When we lived in South Carolina, we had a nuclear plant 10 minutes from our house. These can't be the only two places in the United States with facilities like these.
Yes, we outsource a LOT of manufacturing in the U.S. - outsourcing is done ALL over the world, not just in China. But we tend to keep the majority of military/defense research, production, and manufacturing incountry.
So how is China benefitting, other than just getting REALLY wealthy? How do they become a threat and use that as power?