What's the explanation? That they are explicitly allowed for some strategical reason? Something else?
Edit: @dang: Sorry in advance. I do feel like we got some pretty good discussion around this explosive topic, at least in its first hour.
Folks, keep up the good behavior — it makes me look good.
1. There is no such thing as a single entity of government, CCP is not a person, each individual member of the party and government has his/her own agenda. Each level of government has its own goals. But ultimately it's about gaining control and privileges.
2. It is impossible to control 1.3-1.4 billion people all the time, so you make compromises.
3. The main point is: the tight control is both for and rooted from hierarchical power. To put it plainly, anything goes if it doesn't undercut CCP's control. OSHA? WTF is that lol. Law? "If you talk to me about law, I laugh in your face" says the head of a municipal "Rule of Law Office". "Don't talk to me about law this and law that", says the court. But the moment you order a picture of Winnie the pooh carrying wheat (Xi once said he carries 100kg of wheat on his single shoulder) on Alibaba, your account gets banned.
Off topic thoughts: Because CCP has total control, there is no split of power to speak of, so once they are right, they are so right; but when they are wrong, it is catastrophically wrong and there is no change of course. It's why you see 30-50 million people starve to death and an economy miracle within the same half century.