Yeah the problem with Chinese innovation is the government still has a brain drain for fundamental science and Advanced manufacturing which still needs years of development. So thanks a lot Trump to help creating a Chinese hostile atmosphere to turn it to a brain gain (you can argue about it but many talented people are going back whatsoever)

However the people there are ironically submissive, dictatorial, flexible and long term thinking. Every now and then magically CCP would adopt some bottom up Suggestion and turn it to top down strategy that does the right thing