China Becomes Largest Exporter

While Bush and the GOP is doing their best to scare the crap out of everybody China is NOT shivering. China Replaces U.S. As World's Largest Exporter: Trade Imbalances Could Cause Financial Upheaval; MAPI Analyst Implores U.S., IMF To Act Now On China's Yuan BY RICHARD McCORMACK richard@manufacturingnews.com China's surging trade surplus this year, driven by continued increases in high-tech exports, "constitutes a major challenge to U.S. global competitiveness," declares the Manufacturers Alliance/MAPI. If the issue is not addressed and the trade imbalance continues to grow -- "like the gallows" -- then "sooner rather than later the markets will trigger the inevitable adjustment, with what will almost certainly be more grim financial reaping," says the analysis prepared by Ernest Preeg, MAPI's senior fellow in trade and productivity. During the first six months of this year, China surpassed the United States as being the world's largest exporter. Only five years ago, the United States exported more than double the amount of China. During the first half of 2006, Chinese exports of manufactured goods reached $404 billion compared to $367 billion in exports by the United States. Read Article at Manufacturing and Technology News