Does all that administration and licensing magically happen for free and take zero time? It's stupid extra overhead for something as fundamental as toluene that Chinese labs don't have to follow. You're right that it's not insurmountable, but it's still stupid extra work, and the threat of randomly being investigated for doing science is hardly "nothing too worry about". Just always have every one of your papers in order or else you go to jail is hardly a way to encourage people to want to go into science.