This notion that Chinese labs are merely distilling frontier models is quite an unwarranted slur. Those labs have published WAY more useful research than US labs on RL techniques, novel model architectures, training pipelines, etc. They have also hit intelligence-per-parameter densities that US labs have yet to attain.
Apart from that, merely training a model on outputs from another model, off policy and without the logits, doesn’t really work that well.
The Chinese labs know how to build frontier level models. GLM-5.2 shows that they no longer even need Nvidia chips to do it.