I highly doubt that’s a China specific issue. Far too many politicians have additional ‘jobs’ as consultants, speakers or a seat in a supervisory board. At least in Germany it’s unfortunately quite common, especially in the more conservative parties, to have additional income that exceeds your regular salary as a representative.
Not sure if I’d want to pull his daughter into this mess but in general answering with an equally faked video would be a genius marketing stunt. Maybe a video where Elon writes ‘I must not share manipulated videos’ to a chalk board like Bart in the Simpsons.