When a company gets cheap labor from China instead of having its products made by American workers, this is an example of when it outsources.
transitive verbout·sourced, out·sourc·ing, out·sourc·es
- To delegate (a task, function, or responsibility) to an independent provider: “Most retailers outsource the bulk of their manufacturing to Third World countries, where labor is dramatically cheaper” (James Surowiecki).
- To relocate or transfer (jobs) to another labor market: “Although the absolute number of jobs outsourced from developed countries to China remains small, the threat that firms could produce offshore helps to keep a lid on wages” (The Economist).
(third-person singular simple present outsources, present participle outsourcing, simple past and past participle outsourced)
out- +"Ž source