What James were insinuating is that Chinese miners or mining pools are already causing centralization, because they dominate the hashing power and can effectively do what they want, so no consensus can be reached, until they decide what they will do. He is concerned with the unstable political leader in that country, and the measures he might implement to stop capital flight. < Halting Bitcoin mining > The Chinese already have the advantage of cheap, subsidized electricity and also dominance in the Asic manufacturing. He is also saying other mining farms, outside of China cannot compete or stop the combined power of their Chinese counterparts.