"westprog" <westprog@hotmail.com> wrote in message
news:ChEqd.42843$Z14.18390@news.indigo.ie...
>
> "Adam Whyte-Settlar" <grawillers@hotmail.com> wrote in message
> news:b5dqd.7797$3U4.240799@news02.tsnz.net...
> ...
> > You have a point re: CPU's but the Chinese already make just about
> > everything else.
>
> Chipsets? Disk drives? RAM?
>
> I have no idea, apart from CPU's, which very few companies can keep up
with.
>

Dunno neever is the short answer.
But to get back to my original point that the US won't necessarily benefit
hugely from China's expansion, Morgan Stanley has this to say:

"China exports manufactured goods and imports raw materials and equipment.
The US is not strong in the goods that China imports.
The US trade deficit ultimately depends on the distribution of savings rates
versus ToT in the global economy.  Natural resource economies are gaining in
terms of ToT.  If they don't increase their consumption preference, they
will run rising trade surpluses.  As the US consumption preference is rising
faster relative to its ToT, the trade deficit also is rising"

The Whitehouse says:
http://www.whitehouse.gov/cea/mankiw_testimony_house_ways_and_means_oct_30.h
tml

"This growth in Chinese imports into the United States has resulted in
imbalanced trade between the United States and China. The U.S. trade deficit
with China in goods is large and more than doubled between 1995 and 2000. So
far this year, [2003] the U.S. has a $125 billion (annualized) deficit with
China, our single largest bilateral trade deficit."

"Computers and electronics, machinery, and metals account for half of the
swing in manufacturing production from its rapid growth of the late 1990s to
its decline after mid-2000."

This distorts the picture somewhat as US exports to China *have* increased
but not by much and total 'only'  $25billion - about a fifth of the value of
US imports from China.
Time will tell I guess.
A W-S