China does, and so do many other governments and government officials. They need to be held accountable, because the enviromental problems that we are facing as a planet are devastating and have severe effects on everyone. China needs to be held accountable for this and this practice needs to stop.
Yes, I do believe that it is common practice for China to flout environmental laws. China is one of the cheapest places to have products produced, even with the expensive cost of shipping. There is a reason for their ability to make everything so cheap. They use cheap labor, cheap materials and they cut corners as much as they can.
This is not the first story I have seen where environmental laws were being cheated in China. Volkswagen was caught cheating on their emissions tests in a huge scandal last year. China has the worst pollution in the world and cheating these environmental tests is certainly not going to help them.
The air quality of urbanized Chinese areas is below the standard of most first world countries. The focus on profitability with limited if any discussion on the risks leads to government run corporations that can pass environmental tests through corruption because of the cost associated with the replacement of areas of the industrialized businesses that pollute the air.