Survived SARS has a link to an IHT article on China’s currency policies, which will have grave impact on Taiwanese manufacturers in China.

“If the renminbi continues to appreciate, it will have a big impact on every company that has an operation in China,” said Li Shenghai, a finance director at Samsung, which has more than 50,000 employees in China.

“We will probably have to relocate our factories which make low-end products to some other countries where the cost is lower, such as Thailand and Malaysia,” he said.

The hardest hit could be thousands of Chinese, Hong Kong and Taiwan companies that are important suppliers to computer makers like Dell and large Western retailers like Gap and Wal-Mart Stores.

“This is basically the beginning,” said Lin Chungyu, a vice chairman for the Taiwanese Business Association in Dongguan, one of China’s biggest electronics manufacturing centers. “If the renminbi continues to appreciate, as analysts predict, it will have a large impact on Taiwanese manufacturers.”

Many Wall Street economists are forecasting that over the next year or two, the yuan will continue to rise against the dollar, perhaps by as much as 15 percent.

India, here we come…..