In my experience with China, it’s not so much that people just lie to your face. One common techniques is to say something like “In order to do this, you will need to get permission from the head of the bureau of approvals.” Then you find either he doesn’t really exist, or he can’t actually see you, or something. You’ll then realize that your project is not possible. Or else you’ll end up just waiting for things until you realize what is going on and give up.
Theoretically, everyone feels better this way- you don’t get the embarrassment of being told “no” and the person you are working with is not put in the uncomfortable position of telling you “no.” It leaves everyone free to deal with their frustrations with dignity in private, and it keeps social interactions smooth.
A misunderstood feature of this whole system is the idea of “responsibility” Taking “responsibility” in China is a major commitment. If you take “responsibility” for a project or a person or whatever, it’s a fairly irrevocable pledge to do what it takes to make it work no matter what the cost to yourself.
So a lot of this cultural stuff is a way of shifting “responsibility.” It’d be bad for everyone if you somehow gave the impression that you were going to be totally responsible for something you are not 100% behind, and you wouldn’t want to direct that responsibility to someone else, either. So you find ways to keep things indirect and shift that responsibility away from individuals.
Again, it can be maddening. But it’s not bad, it’s just different. You do eventually learn how to work within the system, and there are certain benefits to it.