Earlier quoted context omitted.
China's pivot from Marxism to Capitalism has brought more people out of abject poverty, in a miraculously short period, than any other change in history. It isn't perfect, but there's no other viable option.
The CCP controls the markets. It's not a free market and thus not capitalism (I am ready to be corrected on any of these points). But that's an aside, the point is that exploitative labour practices come about because of what @netsharc says. You've sidestepped his and my point. If it was you or your children in a sweatshop you mightn't be so gung-ho.
Capitalism is about private ownership of the means of production. It often goes hand-in-hand with free markets, but they're not the same thing.