The size of the Australian economy is about 40 per cent of China's. The failure of the Chinese state is at least as likely as its success. Corruption is the market for official discretion. The more official discretions, the higher the likely level of corruption. Command economies are totally run by official discretion, so tend to become totally corrupt.
China has a command polity coupled to a pseudo-market economy.
It is unlikely to be supplanted, but the party-state could easily just collapse. It is not the regime's strength which threatens Taiwan, but its weakness. The regime's aggressive posturing over Taiwan is a resort to nationalistic chauvinism, and seeking foreign success and succour, to prop up the regime's legitimacy. Most Western businesses which invest in China lose money. They see one billion people and imagine a huge market.