I agree - with reservations:
i think this is true in one field: autoloading handguns.
as for the other catagories:
shotguns: i think American products hold their own in this field.
sporting rifles: again, American guns usually offer the best combo of quality and value.
evil black rifles: more evenly matched but the AR-15 is still the gun to beat right now (might change after the AWB)
revolvers: we unquestionably rule here.
which leaves the semi-auto pistol. i think part of this is the fact that the ratio of autoloader to revolver sales has basicly inverted in the U.S. since the 1970's (30%/70% to 70%/30% auto/ rev.)and America has long been a revolver-oriented country while Europe has been more auto-oriented.
and although everyone owes JMB for laying the ground-work i think the europeans have been more ready to try new things such as polymer frames ect.; while we long held to the dogma that "real guns are blued steel and walnut PERIOD" thereby falling behind in the R&D.
which means today we come to a place where the U.S. makers are trying to compete in a market where they're behind the curve and don't have the features/gimmacks the mass market wants.
ON THE OTHER HAND the import laws keep low-end Euro guns out and may wreck the curve. can't think of many new Euro-guns that are even close to the worst we make (jennings, lorcin, ect.)
or maybe the handgun reached perfection in 1911 and the euros just haven't realized it yet.