China? China who?

Old news, but old man Fukuda insists that the G8 not be expanded to include China or India:

...[Fukuda objected to any expansion]saying the G8 should remain a forum for a small number of states bearing a large responsibility for the international community.

Tokyo fears expanding the meeting would diminish Japan's clout on the world stage.

...adding China would make it impossible to discuss human rights issues and world currency issues related to the yuan, the official said. (Why? China would stubbornly refuse to address issues related to itself? They might have an opposing opinion and cause confusion? It's more effective to discuss China if China is not there?)

Yes, Japan's diminishing clout on the world stage is primarily due to things other than the decisions Japan makes.

Isn't this exclusion of China similar to the 1950s-1970s US when it did not recognize China as China, but Taiwan as China?