I think where you're missing is that all those "services" in the so called "service economy" exist to make the "real economy" more productive.
If services have settled upon "Use China for Manufacturing", instead of ya know, building better manufacturing centers or figuring out training programs or other such advancements, then the economy has failed us.
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The only way this so called "advanced service economy" actually benefits America is if we create better products, better research, better designs and make due with fewer workers on a realistic level.
If we're just sending money overseas its obviously a loss in the long run.
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USA's manufacturing prowess is still there btw. It took advanced computers, chemicals, and life-sciences to develop the COVID19 vaccines (and the updates to said vaccines) so quickly. China has seemingly been unable to replicate the feat.
But in _specifically_ electronics, China has pulled far ahead of us. I think USA wins in chemical and energy sciences for the most part. (China getting a big lead on LiFePo4 though).
At some point, we need to think and look hard upon ourselves and self-reflect. Why is our service economy unable to replicate the advanced designs and advanced factories that China can so easily stamp out?
We're supposed to have better software. We're supposed to have better engineers and better design services. But at the end of the day, China out-manufactures us in the realm of electronics. Thinking and reflecting upon this, as well as the nature of service economies and what our "services" and "advanced economy" is supposed to accomplish is key.