Because the Chinese state has fiat monetary sovereignty, it doesn’t function in the capitalist mode. It has no need to make a profit because it has infinite money[1]. It doesn’t need to extract surplus value from workers, and it doesn’t even need to break even. The logic of capitalism doesn’t apply.

Ultras fear the scroll.

I swear to god ultras are more interested in the sort of masturbatory philosophising of categories than it actually producing any useful insights. It’s the most anti Marxist thing to insist that a thing has to be only a singular thing with a concrete and rigid definition, it’s like Marx didn’t bludgeon you with dialectical materialism hard enough on practically every work of his. He spends decades insisting on the dialectical process and the necessary work to resolve contradiction through material means, which is an integral part of development, only for y’all to go “but this is vaguely like thing, how can it be other thing?”

Man said communism and the abolishment of the commodity form, of private property, the development of the productive forces, couldn’t be achieved overnight, and every ultra went “but it’s already been overnight, so now it can be, right?”

China has all the elements of a capitalist mode of production

It does when you ignore all the material differences. A state where the biggest capital holders are regularly punished if they break the law or step out of line politically is not a state where capital has final say.

There’s been no counter revolution in China, the organs of proletarian power remain in place even as reforms have been undertaken in every facet of life in China. It is the utmost chauvinism to pretend to know better than the biggest communist party in the world where even local officials are required to study Marxism diligently. Being really confident and having misunderstood Das Kapital to be a prescriptivist economical taxonomy doesn’t make you an authority on Marxism. Applying that shit is what does.