Welcome to the latest iterations of "reasons the Ministry of Culture rejected your publishing application".
They're all a joke. These are literally reasons to come up with after the fact to ban almost every video game extant (and if you somehow make one without breaking these rules, have no fear, your game will still be held up in review in perpetuity.)
China pretends to be "socialism with Chinese characteristics". Unless a "Chinese characteristic" is lying your ass off, this is actually completely false. China is the most dystopian example possible of state capitalism run rampant; where the only way to run a successful company is to have enough "guanxi" (clout) to run the gauntlet of regulation (read: ignore it completely) and smugly run your business in a captive market that you literally paid for.
And no worries if anyone complains. China is leading the globe in dissent suppression systems. Facial recognition is spilling over to the West now - it's been a keystone of Chinese monitoring for the past decade. The Chinese version of a credit score includes things like taking up two seats on a train or spitting on a sidewalk.
And woebetide you if you are religious. China has a Muslim minority in the far Western part of the country. Most of them are in work camps now (this is not a joke or an exaggeration, it is simple fact) being taught "patriotic Islam" (don't grow a beard, don't pray too often, be ready to recite Xi Jinping quotes on command)
Dystopia already exists. We just haven't caught up yet.