For all the fears raised recently about rising Western nationalism and protectionism, the Chinese regime is blatantly and unashamedly nationalist and protectionist as a matter of course. The state decides who wins and who loses, and they will simply not allow foreign companies to gain a dominant market position in any significant sector. All market activity, including foreign investment, is tolerated only so long as it is subservient to the nationalist goal of Chinese hegemony.
For years, Western politicians and businesses have turned a blind eye to China's flagrant disregard for the basic rules of free global trade. Partly out of greed for Chinese money and market access, and partly due to an entirely wishful assumption that this is only a phase, and that China will eventually start playing by the rules and acting like a "normal" free market economy.
This delusion demonstrates a fundamental misunderstanding of how autocratic regimes like China operate. Just as they cannot, and will not, tolerate any significant internal competition to their own authority, they will, in the long term, not tolerate any external competition either, either political, military or economic. The Chinese state will never be satisfied being one powerful economic actor amongst others, all playing by the rules of a global market. They will never accept being checked by laws of trade or other country's interests, any more than they will tolerate being checked by democratic accountability or rule of law.