My experience with a lot of the devices coming out of China is that the assemblers are in a hurry for piece-work. They just want to get the item done and tested, and out the door.
To speed things up I've seen (maybe authorized, maybe just somebody just getting the job done), parts tacked in place so it will hold, so that the assembler can solder the wires or part in place.
Quality control is virtually non-existent in a lot of these 'get 'er done' places.
I would suspect the assembler used some sticky-stuff of some kind to hold the wires in place while they soldered the connections. The assembler was unconcerned about what might happen
later, they just wanted to quickly do what they were being paid to do. Whatever the sticky 'tack in place' stuff was , just corroded the wires over time.
No good guess on your photo. Smoke illuminated from behind maybe?