China has a weird blend of capitalism and strict government control, and not all areas are governed equally. Doing business in Fuzhou, Wenzhou, or Shenzhen, for example, is quite different than doing business in Beijing or Shanghai I regards to how much the government is involved.
They also tend to create the illusion of free market to promising start ups, then the second you start making profits the government pops in with a list of demands.
In any case, the governments of pretty much all countries that aren't impoverished and starving are heavily involved in securing the resources they and their economies depend on.