Did Google give work to external agencies because American employees couldn't do it, or because external agencies were cheaper? What happens when they are no longer cheaper w/ the government penalty?
This is not avoidable, and trying to make it illegal would just kill of American software companies.
As an example: a friend of mine worked for a large consultancy that worked on menu screens for gaming companies. The reason for this is that game companies aren't interested in developing specialized UIs for each game but there are outsourcing agencies that already have entire pipelines set up for this and are basically a sausage factory of game menus for most major game engines.