I am neither a US Citizen or a resident BUT this is not only about "geopolitics" but more about National Security too. There's literally a law in China which states you have to provide "crucial information for review" to the government if asked. You(the firm operating in China) cant deny that. Period. That itself is scary, regardless of whether or not politics / geopolitics is involved.
> Regarding the requirements for spot-checks and certifications, international law firms have warned that companies could be asked to provide source code, encryption, or other crucial information for review by the authorities, increasing the risk of this information being lost, passed on to local competitors, or used by the authorities themselves.
The law (Source: https://en.wikipedia.org/wiki/China_Internet_Security_Law) :
> Regarding the requirements for spot-checks and certifications, international law firms have warned that companies could be asked to provide source code, encryption, or other crucial information for review by the authorities, increasing the risk of this information being lost, passed on to local competitors, or used by the authorities themselves.