I think that basing a character's level on a tier list on the matchup against Raiden, you'll find that most characters feel subpar. Raiden is just THAT powerful.
he loses hard to CSZ, and Im hearing Smoke gives him problems aswell.
I see Shang Tsung as a pretty top character, I think it's easily arguable that he belongs in the bottom portion of S tier. So much space control and Zoning at his finger tips. Not to mention extremely powerful 50/50 setups, and a great soul steal ability (if you know how to use it effectively). Most characters don't have the tools that he does, I just think people haven't really given him a lot of time to marinate.
I could be wrong - just my thoughts
My problems with the soul steal is that its too controlled, or neutral (we should be at advantage) once you get a morph its hard to open the Opp up and get that damage in because of the timer. NRS could of had soul steal knock down, since Shang has a timer breathing down his neck.
and when you move in to "try" & put that stolen soul to work, if your successful good stuff but if you not successful you put shang in a bad position because Shang for the most part wants to play the zoning game (still iffy about that) Im also reading that the more moves/attacks you do while morphed the shorter the time limit becomes, don't know if this is true or false. I don't know maybe its me, I open to suggestion o how to improve my Shang game.
I like Shang Tsung and I plan on playing the guy till the end even in tournaments.
I actually see Shang is somewhere in mid maybe.
He does have lots of zoning tools, however the actual reward for zoning isn't nearly as good as some characters. I mean if Kung Lao or Sub zone you there's always the risk of a full combo, Shang can only get a few fireballs worth of damage.
His biggest problem for me was the fact that he doesn't have an invincible wakeup reversal. He's seriously so free on wakeup, people can just walk all over him.
Ground Skull has invincible start up when used as wake up attack, or you can go and waste a bar of meter on a enhanced soul steal if it helps somewhat, but yeah knock downs hurt.