The same is true of all large markets. US movies generally don't put India/EU/Japan in a bad light because the goal is to maximize profits.
Consider the last Pearl Harbor (2001) at the time it was the sixth-best debut of all time in Japan. That was very much intentional and had a big impact on the film.
It's different, because an organization or individual making a negative movie about China might get all their future movies blacklisted from the country.
Consider the last Pearl Harbor (2001) at the time it was the sixth-best debut of all time in Japan. That was very much intentional and had a big impact on the film.