Here is the third fault line.

The party-state not only devalues individuality, but actually fears widespread individuation, which the CCP believes could undermine the present regime. 

1. The government, waging a losing a battle for public opinion, increasingly fears its own people and political instability. It will be a huge challenge for the party to open up when the global economy is deteriorating.  Due to the fragility of the China's empire, if today's leadership feels too much pressure in potential 'threat areas' they will likely resort to more extreme reactionary measures.
2. Authoritarian China discords with individuation, and China's religion of nationalism is mass psychosis. The problem of the undervalued individual in Chinese Communism is deep.  “Human life has no value here,” Harry Wu, a dissident who is a Catholic believer, pondered. “It has no more importance than a cigarette ash flicked in the wind.  But if a person's life has no value, then the society that shapes that life has no value either.”  Unfortunately due to years of indoctrination the Chinese society is likely not yet mature or self-sufficient enough to govern itself. 
3. The CCP's well-known fear of foreign influence (“spiritual pollution”), of which the Internet is the cutting edge, is ultimately a fear that widespread individuation in China would undermine the present regime. 
4. The CCP wages a losing battle for public opinion domestically and internationally.  Instead of opening to accommodate a more open society, the party-state plans to mold public opinion to suit its needs, to “enhance public opinion channeling under new conditions” by “holding the commanding position.”  In their foreign policy, CCP leaders push the notion of a “harmonious world.” But China’s media policy is based on a hard-line world view that sees China “at war” with Western nations and their media bent on keeping China down. Hu Xiaohan’s China Journalist article shows how pragmatism is driving the CCP’s vast system of press controls.
   
5. The Central Propaganda Department manufactures public opinion.  In order to manufacture vital 'public opinion', the Central Propaganda Department has issued directives to websites of various subordinate propaganda agencies including Internet supervision departments due to National Day security concerns. 
6. China blocks tens of thousands of websites ahead of the 60th anniversary.  Media rights group Reporters Without Borders says a "paranoid" China has blocked tens of thousands of websites ahead of the 60th anniversary of the People's Republic. The CCP realizes that it is losing the "battle for hearts and minds” on the Internet.

Related China Manufacturing Blog posts:

• Fault Lines That Threaten Chinese State Autocracy: A Project from Above

• Fault Lines That Threaten Chinese State Autocracy: A Fusion of Doctrine and Power

• China's State Corporatism Has Failed to Lead the Majority to Prosperity

• The PRC Has Failed to Develop a Vibrant Internal Economy

• Wide Wealth Gaps in China Threaten Both the Internal Economy and the Regime

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