I'm wondering if the idea of making a counter offer matching the Chinese offer ever crossed the execs/govt's mind?

The primary value prop China is offering to these engineers(money) is the easiest to counter. I doubt many engineers would want to move to China if they can get the same money in their current jobs.

It seems to come back to (as it often does), the makers, the people actually doing the work not being valued in proportion to their contribution.

It's baffling that execs and govt's will do everything, including prosecuting departing engineers, but balk at the simplest fix which is to pay their key people better.

Hmm so what is the competitive salary offer that covers "less occasional disappearance"

as the saying goes, "f you pay me"