Apple has shown the willingness to compromise to access the Chinese market, so there's absolutely no reason to believe that they wouldn't or haven't bow to their other demands, including the weakening of their device security.
If I were Chinese I'd be feeling pretty damn patronized if someone told me they were taking my iPhone away and I should be happy about it.
No. You just have to reform your government or leave your country, then you can have it back. I know that this isn't likely, but putting more pressure on the CCP is exactly what Apple could be doing here.
(Edit: The sibling comment thread already goes into detail on this idea.)