To be fair, I don't think I could rationally support any law that made this illegal. It may have been made by indebted immigrants in less than ideal conditions but it was still made in that country which is the only thing that label should mean. Something is wrong if we have something that can be 100% made in italy and not legally called "Made in Italy"
As to the quality thing...who knows these days. I still feel like germans manufacture some pretty good shit but half the time buying something made in the USA just means overpaying for the same quality stuff as the chinese junk since you have to cover a bunch of bloated overhead.
My interpretation from people who have done production in china is that the issue there is mostly about QA issues. lots of stories about specs declining over time without any real way to stop it...in USA you would just say "fuck you, these pieces aren't to spec, remake them" (if they even made it to you without being caught by internal QA) while in china it sounds like you almost have to just raise the spec every once and a while because tolerances slide, materials get substituted out, and there is not much you can do about it.