The wording doesn't even make sense.
But as for China as competition, being a factory for cheap goods is not competition, it's temporary. China's economy has been in a slowdown, and will continue to be so. It's also at the beginning of a population contraction, and the demand for higher wages ain't helping to boost productivity.
But no worries, Japan was once on the verge of overtaking the US economy for decades as well, but you can't overtake your main customer. It doesn't work that way.