I believe this is likely the case as well. If you put yourself in Xi's shoes, your greatest priority at this moment is reviving economic growth, trying to catch up to the US in critical tech fields, and self sufficiency.

Whether or not China can successfully capture TW or not (debatable proposition), a war over TW would unequivocally be utter disaster for China right now given its chokepoints and dependencies. So the goal has to be to self strengthen while trying to prevent TW from doing something that will force Beijing to react in a way that further damages international economic cooperation