It wasn't immediately clear where Mr. Devillers was staying in China.

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Mr. Li argues the result is that products staying in China are improving in quality to stay competitive, but at relatively higher prices to stay profitable.

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Last year, the US created 19.9 per cent of world manufacturing output, compared with 18.6 per cent for China, with the US staying ahead despite a steep fall in factory production due to the global recession.

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