When I took a machining course, the instructor sat in the corner and showed us YouTube videos in Mandarin with English subtitles to teach us the equipment.
You are making lots of projections from a single anecdote and conflating a state’s policies/economy with that of a country of 25x the population.
Detroit was once one of the US’s largest population cities, at nearly 2.5 million residents in the late 1960s, falling to less than 1 million by the 2010s. On this scale, California is still in the peak days of the 1960s, but we aren’t showing any current signs of shrinking. Maybe AI will be the catalyst for massive job losses, but that’s for the future to unfold.
Machining is a low value part of the economic supply chain, like sweat shop clothing. While I don’t want to lose it, it’s being dominated by countries (China, Taiwan) which are willing to throw MASSIVE money at the industry. TSMC was literally a whole-of-country effort to centralize the entire world’s supply chain of cutting edge semiconductors on one island. China is winning because they have cut-throat competition between companies and they don’t slow down for legal concerns such as regulation or intellectual property. That is only going to last for a certain amount of time before people will demand better living environments (which is partly why they have such a terrible fertility rate).
China probably caught up the same way starting 40 years ago. Watching VHS tapes in English (or German, Japanese, or French) with Mandarin subtitles*. Clearly "never" is untrue because it's been done once already.
IMO this is all cyclical.
* This is metaphorical. Obviously there were also textbooks and research papers and technical manuals and everything else. The point is much of it came from abroad and they learned it all to the point that they're the experts today.
We are never going to catch up.