Kodak had a partnership with Lucky for a while, and then Kodak pulled out when they realized that the people with the disposable income were buying cell phones and digital cameras instead of film cameras. I don't remember what the write-down was, but it was absolutely huge.
No, China won't save film by itself. If Kodak stops selling film, don't expect anybody to take over their equipment. It will get scrapped out, and then business will shift to other surviving manufacturers.