The tragedy of democracies is that it does not really encourage democracies elsewhere. As leaders of a democracy strive for high living standards within their own borders, wages and thus the cost of living goes up. But participants in a democracy (i.e. the voters) still wish to encourage their leaders for cheaper products. Be it bananas or electronics.

In an isolated system, the consequence of such advances in social structures should be that the newer higher cost of living is the price one pays for a higher standard of living. But countries aren't isolated, and thus democratic leaders try to exploit less democratic countries for their own benefits, be it via covert action, foreign aid or other forms of diplomatic pressure.

China, on the other hand, is one of the few (former, I should say) developing nations that have fought back, once they gained enough political power internationally. The Western world have become heavily reliant on China and its cheap production engine (to put it very simply), and China can thus force the same Western democracies to side with them on diplomatic issues closer to their home.

Ask an American or a Frenchman how important to their livelihood Hong Kong's freedom or Taiwan's independence is, and they would probably rate it low among their list of priorities. Their cheap electronics come first. Does it matter to a Canadian shopkeeper whether Muslim minorities in China are treated humanely? Probably not as much as access to Chinese manufactured equipment.

You may be quick to think our leaders are corrupted by the Chinese regime, but in reality, they are merely doing what their voters want them to do. Voters tend to be rather narrowly focused on what is in front of them, rather than wanting their government spent money and resources on someone else's freedom. Particularly if those regimes avoid directly attacking those democracies (see Pearl Harbor for an example of this mistake).