The degree that China goes to censor things reminds me of kindergarten. Pull the shades down, and kids won't want to go outside? Is it simply a reminder to their people of who's in charge, at this level of pettiness?
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At the same time it's a good gauge for them to figure out what else they can do.
Start with "hey man don't show that one pic" and the company figures "it's one pic, whatever we're not really compromising our values".
A few more steps and then it seems less dramatic when it comes to "give us that information on that one user"... and so on.
Personally I would expect an external social credit score coming soon too. It doesn't have to be all encompassing like the social credit score, but good luck getting a job with a company who wants to work with China if you're on the list...