I don't know really. China is a huge. But a shrinking market for a genre that isn't big in the first place isn't a good sign while other mediums are blooming. It makes it harder to attract new blood and vitality into this system.
I think with traditional publishing, it's hard to get your book in but easier once you get in. Whereas with self-publishing on the web, it's easier to get in but harder to maintain because of the many demands from readers.