“Shipping jobs overseas” as a phrase is loaded and meaningless, but I don’t see how a free market would necessarily eliminate action, and in particular (labor) price arbitrage. It is still perfectly possible (even likely) that someone in free China (Alabama) could perform an operation cheaper than someone else could in free USA (California).
If I had 20 people making Part #32 for my product at a total cost of $400 per part and I saw Part #32 offered in a Chinese catalog for $100 why wouldn’t I fire the 20 workers and start ordering Part #32 from the catalog? Did I just “ship” these jobs to China?