Get the US public to keep a less vigilant eye on China and focus on more immediate issues like immigration, economy, and Western Hemisphere.
The Trump administration operates by making highly-visible "spectacles" of power.
Think circuses for the Plebs, to keep everyone distracted and/or entertained.
It's better if China is strong, so doesn't attract Trump's attention.
Weakness will be ruthlessly exploited. Think Venezuela or Iran. Or the trade wars.
Also, the isolationist/restrainers within the Trump Administration probably would like to have a somewhat less confrontational relationship with China (see the 2026 National Defense Strategy). Releasing the fake news of the PLA being throughly incompetent and penetrated inside out like the IRGC at a time when Trump is busy dealing with Europe and domestic issues would further give the Trump Administration’s restrainers and isolationists reasons to shift diplomatic and military resources away from the China theatre.
You misunderstand the dynamics.
Trump is refocusing on the Western Hemisphere, partly because they see China as too strong to mess with.
Remember that by 2030, we're still looking at about 1000 J-20 stealth fighters plus another 1000 fighters in the Chinese Air Force.
Combined with other developments, that should be enough for Chinese air superiority over all of the 1st Island Chain, despite anything the US can do.
By 2035, the Pentagon is reporting that China will build an extra 6 aircraft carriers.
If you add in current rates of construction for other warship categories, the Chinese Navy would double in tonnage by 2035.
It looks like the Chinese Navy would have more warship tonnage than the US at that point.
When combined with the Air Force and Rocket Force, I reckon the Chinese military would likely win blue-water naval battles in the 2nd Island Chain.
So this is the US preparing for a future where China can control the oceans, and the US will have to retreat back to the defence/control of the Americas.
For Beijing, a Washington with attention focused elsewhere will buy Xi more time to install loyalists within the PLA whilst preparing for the ultimate showdown over Taiwan. The difference between Xi and Mao is that Xi actually wants to have competent people working for him whilst Mao only cared about spiritual loyalty regardless of competency. But loyalty does matter as it would be highly dangerous for Xi should his close lieutenants be competent but secretly against his policies, if not outright believers of liberalism.
This makes no sense.