> We (US) and the world support China by allowing manufacturing to be migrated to China
A side note... it looks that way because we view the world through capitalism-colored glasses. More objectively, or from "outside", it looks very different. Say aliens visited our planet. They would say "What are you talking about? China produces all your stuff, and you are just giving them pieces of green paper in exchange. Not even that, you are now just flipping bits on a computer! They are not dominating, you (the west) are!"
If the west looses dominance, we do because we are following our own rules - a game that China is currently better at then we are. We are like a silly troll in a fairy tale that poses a riddle, and when the hero correctly solves the riddle we somehow can't eat him anymore (although we physically could easily).