Surprising, since the last time this rocket launched was a success. So probability of failure was very low this time but it still happened . Guess there was an issue/mistake somewhere.
According to this guy, there was a problem with the electrical systems after second-stage flight initially began well:
Based on video of the launch mission, as LandSpace did not share any details, Zhuque-2E’s four TQ-12A engines ignited to carry the launch vehicle skyward, doing so until main engine cutoff and first-stage separation to begin second-stage flight. Second-stage flight is believed to have begun well, before issues began to manifest (said to come from electrical systems), eventually leading to a loss of the vehicle and its payloads.
Honestly, I am suspicious of electrical systems problem suddenly appearing with a rocket that has already flown flawlessly twice. There are a lot of forces out there that want to sabotage China's space efforts. They need to take another look at operational and supply chain security as well as fix technical flaws.