This might help you fix the problem:

Google Ads default settings for location targeting is based on "Presence or interest" in a location, not whether the user is actually in the targeted country. That means even if you have "United States" selected as your target, your ads will still show mostly to people outside the US who "show interest in" the US.

To fix it: Campaign Settings > Location > Location Options, and under "Target" select "Presence". Never use the default "Presence or interest" option, as it will result in exactly the scenario you're describing.

This is my #1 pet peeve with Google Ads. Using the default setting is an incredibly common (and expensive) mistake people make setting up new campaigns.

By default Google will show ads to people in or "intersted in" the selected location. You can change this to only show ads to people actually present in the specified location, from campaign level location targeting. I spend low 5 figures per month on ads and changing this parameter has significantly reduced poor quality clicks.

Maybe this is due to chinese and indian click farms running through VPN’s?

Click farms click on everything in order to dodge fraud detection, as far as I know.