Lot of it comes down to where the factories are built. Building fabs is hard and expensive. And when the U.S. has assigned Permanent Normal Trade Relations with China, which in the oughts, ballooned investment in facilities over there and streamlined shipping... And not much else it was intended to do, but that suited the businessmen's interests just fine.
Why wouldn't the Indians pull a fake it til ya make it? Hell of a lot easier than actually doing the thing and competing... Even though that's kinda the whole point of capitalism. But we abandoned that long ago, and the Silicon Valley types and VC types in particular have sworn off it. Dollars and monopolies first. Competition (and lower prices therethrough)? Nah. A sucker's game they say.
I guess I'm a sucker and an idiot, because my answer is simply "because it's wrong". Not to mention, illegal, and them not reversing the transaction only allowed the bad actor to profit.
I'm not excusing them, just like I'm not excusing a scam call center that steals from the elderly.