There's no doubt that the Innosilicon hardware is deploying around China as we speak. Over the past couple weeks we've seen Litecoin's difficulty drop about 20% or so and now the predicted next difficulty is a gigantic leap from around 5250 to 6700 and climbing...no doubt the effect of Chinese farms decommissioning their GPU hardware and firing up their new ASICs.
By the time these systems are in peoples' hands in late May, we could be looking at five figure difficulty.
I don't think there is as much GPU-based farming in China as people claim. ASIC, of course, maybe botnets originate in China too but I would be quite surprised if there was anything like as many legit GPU's mining in farms as people imagine. I think it's just too easy to claim China is the answer to peoples questions because in the most part its believable.