I was discussing with a close friend here in China. They have their Masters Degree and are working on their PhD. From the university where I teach here in China.

They were saying, that if they moved to the US, their degrees are not honored if they go to US, and want to teach at a University there.

Is there some system or exchange program. This is a very good friend, and I can't seem to find the information.

The question of whether a degree from a particular univerisity in China (or any foreign country for that matter) would be recognized by a school in the US is up to the school. My guess would be that graduates of internationally acclaimed schools would have no problem, particularly if they want to take a position as a lecturer or adjunct faculty (as opposed to tenure-track). The only way to know for sure is to ask the specific US university your friend is interested in. However, my advice to anyone wishing to pursue a career teaching in the US as a full professor at the university level should strongly consider obtaining their graduate degree in the US.

From what I am reading some PhD programs are recognized and others are not - here's one that is: Five Branches University » DOCTORATE/Ph.D.

Has he contacted specific Universities concerning his specific course of study?