How can you say with certainty that China has no need for it? While the world has moved toward multi-role fighters, the advent of stealth and the necessity of internal storage perhaps makes it beneficial once again to have specialized aircrafts. There are only 2 operational stealth fighters right now, and none has been challenged by even a near peer. Who's to say that multi-role is still a valid concept in the age of limited internal storage? Perhaps the PLA has decided that multi-role is impractical for small to medium sized stealth fighters and a force of only large 5th gen fighters is unaffordable, so they've decided to go with a multi-role + air superiority specialist combo?
China has shown zero interest in the JF17, so why would it want a stealthy JF17?
Stealth fighters costs vast sums to design and build. Even the US is struggling to fund two stealth fighters, and had to rob the F22 production fund to finance the F35, and suffering from massive remorse now. China is not about to emulate that epic fail.
The J20 is a pure-bred, zero-compromise air dominance fighter. There is nothing multirole about it other than in the minds of western 'experts' who are still in shock and denial to some extent over its very existence.
It is still highly questionable if the J31 will get fully funded and fielded with the PLAAF. Although the PLANAF has made noises about wanting to navalise the J20 and use that as their long term carrier fighter, there is a chance they will be 'convinced' to take the J31 instead. I still think that is the best, and maybe the only shot the J31 has at becoming operational.
It could be that CAC is working on a medium weight stealth offering to compete against the J31 for a naval and/or medium weight stealth fighter contract, but that seems unlikely.
The entire need for the J31 is largely artificially created to keep SAC from crashing out of the fighter business and prevent CAC from turning into China's LockMart and monopolising the Chinese fighter industry.
In that case, it wouldn't make any sense for CAC to waste time and money trying to compete for a contract they are simply never going to get.
If CAC is designing a medium or light weight stealth, it will not be for the Chinese internal market, and could, ironically indeed be a stealthy JF17 in that it is designed and built using largely off-the-shelf components and tech developed during the J20 programme to keep costs and development time to a minimal, and is aimed exclusively for the export market.
If CAC could make a viable 5th gen export fighter in the next 5-8 years that costs about as much as current western 4th gens, they may well be onto something.