It isn't entirely true that all carriers outside the US levy insane fuel surcharges and other award taxes. Here in China, for example, China Eastern's EasternMiles program has pretty friendly redemption policies. Granted, they're not SkyTeam yet, but they do have a partnership with Delta. China Southern's Sky Pearl Club isn't bad either.

The airline industry in China is still regulated so many of the more annoying practices from the rest of the world haven't made it here yet (insane fuel surcharges, baggage check fees, stupidly high change fees, etc.). For my part, I hope it stays this way - it's actually pleasant to fly domestically in China most of the time.