They have some of the most amazing factory tooling set ups. Yeah I know, some of the cheap stuff at the dollar store or Walmart sucks but if you are spending over a hundred dollars for product, the quality is usually amazing. I have an $800 guitar made in China and I am blown away by the great craftsmanship and quality. The factories over there really get things right. They know the ropes and have the system down like clock work precision.
The person who made your guitar probably works 20 hours a day at 0.15 cents an hour. He could be dead by now from suicide or exhaustion (for all we know). Americans care more about their material possessions than the suffering behind them. That part doesn't even cross their minds.
Working crazy long hours can be a problem in Asia. It's not just China. Even in Japan the phenomenon exists. On rare occasions, people do die from being over worked. The japananese word for that is called karoshi. Factories in China vary. There is a very interesting documentary called Manufactured Landscapes that go behind the scenes of some of the factories. These factories are massive in these huge industrial centers. I do agree that many Americans are not aware of factories over seas. Factories are very interesting. There can be a negative side but they are interesting to me because they are so systematic and like a self contained universe in a way.
China does make a lot of stuff so in my view it deserves to become wealthy as it is doing. My country (UK) used to make so much stuff but has now sold off nearly all it's factories and hardly makes anything any more. Making things is nearly always something to be very proud of IMO.
Some Chinese smartphones are amazing bargains. I bought a Cubot Note S last year for £64 - yes, as little as that - and it's as good as phones I've owned that cost five times as much. It just goes to show what rip-off artists Apple and Samsung are !
I work in the industrial field and we can't use rigging made in China because it fails the standard stress tests. In fact, many tools made in China don't stand up to OSHA regulations. So I'm going to draw my own conclusions on that and disagree with you.