This is an order that deeply concerns me.
Yes, IP theft in China is a well known issue. I raised the issue long ago on Ask Management and they responded they were aware and vigilant. One way to slow it, although I can't say it prevents it, is to have the software that controls everything strongly encrypted (key length >= 256, 512, 1024, ...) and preloaded with the key embedded at a random location that's read by hardware established at the factory. Make the software and key self destruct if disconnected from the circuits.
All speculative on my part.
Bill