Zachary Keck opines in The Diplomat that China is losing its war against Muslim Uyghur terrorism out west in Xinjiang province. He provides enough anecdotal evidence to suggest, at the very least, the government isn't yet winning.
I suspect Keck underestimates China's willingness to deal ruthlessly with dissent. Some combination of forcing Han Chinese to move to Xinjiang, and internal deportation of Uyghurs from Xinjiang might do the job. If that fails, I doubt nuanced genocide is beyond the PRC's ruling cadre.