So they act like a dual standard on one hand wants their goods to move freely to other countries but when other countries demand similar access. They create barriers in the name of national security and internal country affairs. Recently based on article in business week google wants US to weight challenge china's censorship as trade barriers in WTO (http://www.businessweek.com/news/2010-03-03/google-wants-u-s-to-weigh-challenging-china-in-wto-update2-.html)
Indeed if you look at the overall Chinese technology landscape especially in Web 2.0 or cloud computing area. Local companies are just direct rip-off e.g check facebook against kaixin http://www.facebook.com/ and http://www.kaixin.com/ or http://www.renren.com/ , its not just similar its almost identical. The same goes for games for example Zygna's Farmville rip-off is directly now available in both kaixin and renren along with the local company http://www.taobao.com/ (listed in Nasdaq and controlled by alibaba.com)
Hope in future all the countries who have a trade surplus with China would take the action at WTO to at least create a level field for their own cloud computing and innovative software service providers by opening up access to the market where such services are needed but are essentially blocked in favor of domestic companies.