I think the report on the Kraft trip makes sense, whether specifics are true or not.
I've said this before. The Americans cannot intervene over Taiwan. China has escalation dominance here. The Americans will not engage in nuclear warfare on the Taiwan question.
If the Americans don't go to nukes, the Americans cannot climb the escalation ladder and thus, will not engage in physical warfare as they would lose.
You can extrapolate the logic. A popular narrative is one of sea embargo of China. However, how do you starve to death a comprehensive nuclear power? It's nonsensical. If pushed, the Chinese will escalate beyond your appetite for violence.
It's not possible to defeat a nuclear power like China in the field. Even small states like Israel insinuate this impossibility with hints of their infamous Samson option.
Does the West not love to describe the CPC as a dictatorial, authoritarian regime? Then they should fear even more so an unaccountable CPC with aggressive WMD escalation and coercion.
But back to Kraft's visit to Taiwan.
Pompeo was too stupid (or desperate) to realize what every previous administration back to Nixon understood - the One-China policy is no favor to China, it's a deal struck with downsides to breaking it.
One of those downsides is war with a nuclear power. If the DoD did in fact reel Pompeo back in, I think it supports my previous point. As the military branch, DoD would understand that the US would not be able to match Chinese escalation and thus would recommend Pompeo to acqueisce to Chinese threats.