[x-complexity]

> The CCP aspires to climb the value chain up to where the US is, which means shifting away from manufacturing to the high profit margin tech, biotech, and other science related industries.

None of that requires a strong currency, only a strong industry.

That's what the CCP has done with their own currency, by deliberately weakening it & funneling the strength into drowning the global market with their industry's products. A strong currency runs counter to that by making their products more expensive as a result.

Had the RMB continued its original trajectory (2003-2015), it would've wound up at approximately 1EUR ~= 5RMB. Instead, the CCP made the decision to weaken the RMB to maintain industrial capability, and further expand into technological ventures without abandoning the other industries they've captured before.

> That some in the US want to go down the value chain and take China's manufacturing spot just as China zooms ahead of the US, is, well... It would be comical if it weren't so sad.

1) China is able to "zoom ahead" because they have a strong industry within their own borders, buffered from the political decisions of other countries.

2) The value of the lower parts of the chain is not obligated to be lower than the upper parts of the chain.

https://www.kenan-flagler.unc.edu/news/its-okay-to-move-down...