China, based on demographics alone, will never be a demand based consumption economy. The only reason so much stuff is still made in China is the sunk cost to build an industrial complex.

In the end, it really doesn't matter what the issues with China are. There are an endless number of points that if you bother to look into it the chinese are not peers of the US. However, the US, need an external boogeyman who appears competent to make politics work.