You can argue that you have capitalism if transactions are happening. Which means the word kind of looses it's meaning because it's so broad.

But people will often define it on how much market control the state displays.

You can then argue that China has market control on key aspects of important sectors. Which they do, but still with an approach, that they have private companies with government subsidies.

But most of all, the need for distance to the world capitalism is more a marketing thing. Unless they believe that capitalism is just a tool to achieve socialism, which also can be true.