This could be advantageous to China to mitigate the growth of Catholicism internally (any form of Christianity imo is clearly a tool for foreign western control). The underlying message to propagate can be that Chinese catholics now "worship" an American who is clearly becoming the primary existential enemy of China day by day. Also China can now give less concessions to the Vatican in terms of their control or influence over dioceses in China as there can now be suspicions levied to even credible claims on whether or not the American government is controlling the Vatican for their own geopolitical interests.
Think there might be a mix-up here, catholicism isn’t actually growing in China in any significant way. It’s Evangelical Christianity, like in South Korea, that has seen some growth, especially in rural areas and among parts of the emerging middle class.
Catholicism remains quite marginal and is tightly controlled by the state through the Patriotic Catholic Association. So framing it as a potential tool of U.S. influence may be a bit of a stretch. If there’s any real concern for the Chinese authorities, it’s more likely directed toward Evangelical movements with transnational links.