Earlier quoted context omitted.
The reason it can be done in China is because those shops illegally obtain the parts (whether counterfeit or stolen, since Apple won't intentionally sell them to anyone) and resources (schematics, software, etc) to be able to do so. This situation is both good and bad. Stolen parts are good, in the sense that this grey market at least allows consumers to repair devices cost-effectively. It's also bad, because besides…
> those shops illegally obtain the parts (whether counterfeit or stolen, since Apple won't intentionally sell them to anyone) and resources (schematics, software, etc) to be able to do so. This situation is both good and bad. Stolen parts are good I really doubt that many of those genuine repair parts for iphones and macbooks are stolen , in the sense that somebody loaded up a pallet and took it from its manufacturer…
In the case this is a misunderstanding of the US perspective, and not a deliberate misinterpretation, the context taken here by Apple is based on US intellectual property law.
In that context, this would be a criminal offense and would very likely be pursued in court by Apple, leading to punitive damages, loss of contract, or both (e.g., the GEEP lawsuit). Third-shift manufacturing [0] is seen as a serious issue by many large corporations who have their production based in China for this reason.
If the schematics or other intellectual property were transferred to a third party (e.g. another factory) for production, then this would be IP theft, if the use of the word `theft` specifically is the crux of your objection.
I'm not saying the current situation is "right" or "correct", just clarifying the terminology so everyone is on the same page semantically.
[0]: https://scholarship.shu.edu/cgi/viewcontent.cgi?article=1825...