Which country is exporting low-cost (and low-wage) goods to China?

That'd be us.

According to the new study from the Alliance for American Manufacturing and the Economic Policy Institute, "Economic theory would suggest that the United States should specialize in producing goods that intensively use high-skilled, highly educated (and highly paid) workers and import labor-intensive goods that use more low-skilled labor. In fact, low-wage commodity sectors were some of the largest exporters of goods from the United States to China."

You can read more here. But I do warn you it's depressing news.

Disclosure: My company works with AAM and EPI.