Let me explain one thing.
Originally in Soviet Union economy was build based on a concept of surrended by enemy camp - mean everithing must be produced inside. I remember example from school - Russians manage to make rubber out of potatoes, because natural gum was only abroad. Russian plant cotton in middle Asia to have their own cotton. Russian start making good watches, not much worse then Swiss - because Red Army officers need it - etc. Keep in mind that China economy was initially build by Russians in 1950-60 (it was in middleages before 1940) and was copy of same communist surrended camp.
If you do not need to buy something from outside - because everithing is made inside, you can now put any exchange rate. Stalin at some point sad that it will be enough for 1 dollar to be 0.3 rouble. Really, who cares? Soviet Union do not need them anyway, let American products be cheaper.
But you may do it differently. Let say real rate is 1 to 1, you make exchange rate 1 to 10 (communist economy - rate will be one which you set no currency market) - it does not damage you because you do not need anything from US anyway, but US will rush to buy you staff just because it is 10 times cheaper! You get for you producs ten times less then US manufacturer but you do not really care about it - you dont need to buy anything from US! However you will have a lot of orders from greedy americans and expand you production. That dollars you gain, even it will be less then you suppose to get, you may still pay to buy Russian MIGs and SUs, Sunburn missales ("battle group killers", check google - really cool staff) - all this sophisticated modern weapons etc.
Products are same quality as US made (now) or will be this way soon, in time any manufacturer will have enough skill to provide high quality, workers are fairly paid in yuans and they able to buy almost similar goods in similar amounts as american (but made inside). I am thinking that soon R&D will be also in China and as good as here. Chinese people smart, wise, hardworking, educated, they learn fast - I really like them!
I think Chinese goods are really good and they cheap! Do you see any reason why not to buy it?...
Personaly, I see, but I will not pressure anybody to buy something with label "American made" - it is several times more expensive. However, I dicide for myself to better pay this difference (if it is not huge). Unfortunately, more and more times you don't have any choise.
I remember reading about interesting economy parameter - BigMac price. Usially BigMacs are made inside from domestic products, by comparising price betwin same BigMac here and there you may easy see how real exchange rate should looks. Just wondering what price for BigMac in China?
Thanks, Vassili.