With 14% share of the smartphone market Google does substantial business in the Chinese markets, which is looking to become one of the dominate forces in the smartphone game. Google has previously stated that the deal is subject to regulatory approval in the US and EU but has not directly commented the statements from Chinese authorities. While this could be a simple oversight, with a deal of this scope, its hard to imagine Google not doting its I and crossing its T.
While both the Chinese government and Google are being cagey about the deal, it seems to indicate continued strain between the growing economic superpower and the internet powerhouse. Google and Chinese representatives have clashed repeatedly over censorship and information freedom in the past.