Clearly Munger does not view the CCP and regulations as risks. He's on record supporting the CCP's proactive interventions and believes that they are benefincial in the longer term. The US tends to allow problems to grow unconstrained for too long (e.g. dotcom, GFC, crypto) and the longer you wait the more costly they are to fix.
In a recent interview, Ray Dalio placed the odds of a civil war in the US at 30% in the next decade. That may sound far fetched but it's not clear to me that the US is going to anymore politically stable than China in the coming decade.