There are some aspects of China's proposal which are good in regards to giving scores to businesses in an effort to regulate them, similar to independent reputation systems in the West, but it is the promises of "holistic rating of character" they've made and the comments about introduction of big data deep learning techniques that have people concerned. Even if intentions were completely benign, you could end up with something very bad.
The idea of using surveillance capitalism in a multipolar system is one thing, especially if there is a very transparent dispute system, but using it at the state level should scare everyone. People complain about being ruined by small tweaks to Google's ranking algorithm, but having a single ranking instituted by a government monopoly would be inescapable.