1) A steeper Yuan would be a kick in the gut to WalMart, Harbor Freight, Best Buy, and all the other mass-market retail chains whose very existence is predicated on dirt-cheap Chicom consumer goods.
2) There is nothing currently to replace those goods. It's not like Americans are going to suddenly start buying American-made sneakers and toys and cheap electronics, because there aren't any, and even if there were, they'd likely be made by people steeped in generations of the BS union entitlement mindset. The cost of paying a guy $50k a year for the rest of his life to stand there and push a button 40 hours a week, 48 weeks a year, for 20 years is going to be reflected in the price of the goods, and I'm not ready for a $200 pair of Keds.
3) The only American car company that makes money in China is the Buick division of GAZ Autograd, although I think the Jeep division of ZiL is popular over there, too.
4) The Chinese hold a bunch of our debt, but we're the primary market for all their stuff. Right now they're really scary, but I think I've seen this movie before.
What dramatic implications am I missing?