Full stop, no it isn't.
> Handling topics of National Security, such as Pearl Harbor, must be screened and if needed edited by National Security personnel.
Full stop, no it doesn't. Where the heck are you getting such misinformation? It is not just wrong, it is bordering on libel.
> Close partnership and collective ownership of media production facilities has given us movies with fake narratives like the Jessica Lynch story, Zero Dark Thirty, etc.
There is an audience for those films. There is also an audience for films that are anti-patriotic and can be considered downright subversive. The American film industry is huge, Chinese aren't aware of even 5% of its output.