it occurs when it's economically more efficient to move industry out of your country than to keep it in

unless you're suggesting china will willingly run the bulk of its industry with decreasing efficiency over time for the sake of keeping lower paying jobs domestically

These developments look increasingly structural. The authorities' stance since 2020, including regulatory tightening and zero-COVID lockdowns, appear to have inflicted long-lasting damage to China's private economy, the dynamism of which was a defining feature of its economic miracle in the past four decades. Nearly 20 months into China's COVID reopening, the private sector has yet to bounce back, despite many pro-private business utterances and gestures from China's leadership.

i'm not sure private businesses failing over covid is a good thing for an economy