I think it's slightly less ridiculous than it sounds, because governments have much more power over their own citizens. As an American I would dramatically prefer the Chinese government to spy on me than the American government, because the Chinese government probably isn't going to do anything about whatever they find out.
(That logic breaks down somewhat in the case of explicitly negotiated surveillance sharing agreements.)
> because the Chinese government probably isn't going to do anything about whatever they find out.
This really depends. If a foreign adversary's surveillance finds you have a particular weakness exploitable for corporate or government espionage, you're cooked.
Domestic governments are at least still theoretically somewhat accountable to domestic laws, at least in theory (current failure modes in the US aside).