That is another western chauvinist talking point. That any development of industry (the primary task of countries who've just freed themselves from colonial rule), is a "betrayal" of socialism, because it didn't go according to whatever the given critic laid out as sufficiently socialist enough, and that only the western critics of socialist countries have the correct plan.
China specifically can't be called state capitalist in the slightest, considering that the CPC stands above the political system, unlike capitalist dictatorships where capital rises above political power:
- The backbone of the economy is state ownership and socialist planning. 24 / 25 of the top revenue companies are state-owned and planned. 70% of the top 500 companies are State-owned. 1, 2 The largest bank, construction, electricity, and energy companies in the world, are CPC controlled entities, subject to the 5 year plans laid out by the central committee.
- The myth of Chinese state capitalism. Did Deng really betray Chinese socialism?
I believe they have noted it, but they consider it more minor and less important than Marxist historians do.
Interestingly just like the british, the US itself went through various phases of disputes with its own settler frontier terrorists that it empowered, when it wanted to do the conquering in a more "orderly" manner (although the goal never changed). A lot of these are chronicled in Roxanne Dunbar-Ortiz - an indigenous people's history of the US.