"Sinophobia" (which is not a real thing)
Prejudice against Chinese people is very real. If you wish to argue (for or against) the
presence and/or extent of such prejudice in a given context, well, that is another matter altogether, but to categorically deny it exists
at all is flat-out stupid.
But this sort of thing worries me greatly.
That said, yes, there are cultural differences which tend to result in alterations or even blatant censorship in a foreign work if a Chinese company fronts enough capital towards such an endeavor. Good luck securing Chinese investment for a film with a heroic/main character that happens to be homosexual/bisexual.