China's population is mammoth. They can focus on serving their population first and have a huge economy even if all the western economies decided to stop using their services. Also, they have started to focus on serving 3rd world countries that are growing so that's a large market that will use their services.

As far as Covid, they might be making a mistake but its affect will eventually end. After that, they can continue with their economic plan.

It has been slowed, a bit, but not stopped.