What they are saying is that even in regards to OSS it wouldn't matter because China has such a disregard for non-Chinese law (and the citizens have blatant disregard for even some Chinese law) and property that they will just outright steal it or otherwise break any law that inconveniences them to just use the software anyway.
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None of this is true. It's not political, it's not about IP, it's about Chinese law, and it doesn't apply to OSS.
https://news.ycombinator.com/item?id=23351181
What they are saying is that even in regards to OSS it wouldn't matter because China has such a disregard for non-Chinese law (and the citizens have blatant disregard for even some Chinese law) and property that they will just outright steal it or otherwise break any law that inconveniences them to just use the software anyway.