China playing catch-up, expert says
By David Perry -- Furniture Today, July 12, 2004
Indianapolis — Foreign affairs specialist Michael Colopy told a crowd here that China, despite what some say, does not seek to destroy the United States.
Colopy, a veteran of 54 trips to China, labeled such notions as "complete nonsense." Individual elements of China are dangerous to the United States, he said. But he doesn't buy the idea that China seeks to subvert the U.S. system.
The key to understanding China, Colopy said at a session on "What is China's agenda?" at the International Sleep Products Assn. Expo here, is for Americans to overcome their ignorance about China. Americans are unprepared to understand how they are perceived by the Chinese, he said.
Colopy said that China seeks to keep its economic base expanding fast enough so that domestic instability, an historical challenge, can't stop its progress.
China wants to catch up to the world's great powers and will take every avenue open to it to do so, he said. They are copying behaviors that were successfully used by foreigners in China.
China's middle class is developing "at history-busting rates," he said, and soon may equal the entire population of the United States.
In a question-and-answer session, Colopy was asked if he thinks China will stop pegging its currency to the U.S. dollar. "No," he responded. Despite recent administration efforts, China doesn't see the United States as seriously seeking to change its currency practices, Colopy said.
But later he said that if China does make any adjustment, it would be "cosmetic" and would have no significant effect on trade.
U.S. retailers like Wal-Mart, who bring in many goods from China, don't want China to float its currency, Colopy said.
Tariffs on China is a "bad thing," he said, because the importance of a stable China "trumps individual tariff issues."
China does have its problems, including a troubled banking system and natural resource issues, he said.
