Stevemeister
Distinguished
Articles saying such and such will happen in 20 years are guessing. China right now largely makes inferior copies of goods designed elsewhere and as an economy they have yet to learn to distinguish between cheap and good, but make no mistake, while they have not yet "arrived" in terms of being leading innovators the capability is certainly there. I manage a team in China and while wages right now are very low relative to North America/Western Europe, in the built up urban areas like Shanghai skilled labor is only roughly half what it costs in North America BUT, and this is the kicker, wages are increasing at a much faster rate than NAM (average wage increases are ~10% per annum for qualified university engineering graduate in China versus closer to ~3% per annum in NAM so at that rate of differential, in 20 years there will be wage parity and any economic advantage will have been lost (think of Japan 40 years ago). China simply wants to have technological independence but make no mistake the Intels of the world will not be standing still in the meantime.