We let unions run wild, and never applied antitrust regulations to them like we did companies. Unions sell labor; companies sell goods and services - should be a direct correlation. Companies theoretically can't collude or monopolize markets, unions are free to do both; that means unions have had unfair advantage which invariably leads to increasing wage rates with no matching increase in productivity. Next are minimum wage rates that get bumped time and again for no good reason except to make liberals feel good. Any increase in the cost of labor without a matching increase in productivity is inflationary and skews the local labor rate vs the broader labor rate (global labor rate in this case). We simply overpriced US labor.
The other issue is that of skills and work ethic. We are losing ground with both. Some groups of people are more enamored with gang life or "appearance" than they are with working and gaining the required education. Other groups have been oversold on "college for everybody" and don't feel that labor is for them. We're like a spoiled society - spoiled kids who want a life of leisure without having to earn it and brats who don't want to do anything productive. Look at education scores and check where Asians stack up against the rest of US society - a particularly apt comparison since we were talking Taiwan and electronics manufacturing.