China doesn’t care about privacy. This is purely political.
Their state spies and censors but they don’t want private companies collecting data on citizens because that data can be taken by a foreign country to spy on them.
That is how western social media platforms collected data and sold it to criminals and political operatives. The west is still allowing this crooked activity because our prostitute politicians take money from lobbies and donors.
In China they have weaker lobbying and they learn from western mistakes so they can reach their long term goals of stable growth. If they had a Zuckerberg or Dorsey screwing their society those two people would have been jailed long time ago.