They were changing your units back in the old days. And imo the gap is pretty huge lategame, which makes this change infuriating. We are talking of 15% infantry and cavalry combat ability lategame between europeans and trash groups, this is massive.
Non-European infantry is about 2 pips behind Europeans in the late game. It's a disadvantage, but not a huge one. (Some of the late-game cavalry units are garbage 'dragoons', but cavalry doesn't have much impact anyway at that stage.) Meanwhile, Western units especially are rather mediocre in the early game. So it balances out overall; if anything, I'd say early game strength is more critical.
The only consistently amazing units are the High American ones.
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