Personally I'd be more worried if the hashrate was under NSA's jurisdiction.

Chinese miners have acted OK so far, and the chinese exchanges seem to have pretty large volumes. Actually the chinese may need bitcoin way more than westerners in RL, due to devaluation dangers and capital controls.

The real question of centralization that the westerners should ask themselves, is how is it even possible to have a tremendous edge on IT / chip manufacturing / chip architecture etc etc, and then don't even use that advantage in creating competitive ASICs that make the Chinese ones seem like ancient tech.

Why is no large western industry creating bitcoin-related equipment? Why is there an "invisible hand" that prevents them to do so? This type of centralization where every large western manufacturer has "ignored" bitcoin hardware is one of the primary reasons why the situation is like it is in terms of hashpower distribution. Cheap power exists in several US and European locations too - so it's not just the power cost.