Yes, it is somewhat true. China has certain regulations on horror stories. One reason is to protect the mental health of the public, especially the younger generation. Horror stories with excessive gore, negative values or superstition are restricted to ensure a positive cultural environment.
China has a regulatory approach towards horror stories. The country aims to promote positive and healthy cultural products. Horror stories that are too extreme in terms of violence, abnormal psychology or that go against the core values of the society are not allowed. This is also to prevent the spread of negative and harmful ideas, especially considering the wide influence of media in today's society. For example, if a horror story contains a lot of cruel and inhumane scenes, it may have a bad impact on the psychological development of viewers or readers.
Well, China does have some control over horror stories. In China, media content needs to conform to certain ethical and cultural norms. Horror stories that may cause excessive fear or have inappropriate content are banned. It's part of creating a healthy and harmonious cultural atmosphere for the society as a whole.