China should do both. Proving "neutral" Western media outlets that their extreme claims are bullshit will hurt their credibility even among their own countries. Can you imagine them having to back down on the "genocide" claim? Plus it will also further help to turn friendly countries away from Western media.
There are a small groups of Westerners that like China. As for the rest, it doesn't matter if they are right wing or left wing or what is the truth or lies, they just don't want to see the rise of China and accept the fact that they aren't special or exceptional.
Even if the UN human rights team found no sign of genocide, the genocide accusation wouldn't go away and most Westerners would be willingly accept genocide as a fact.
The only way to defeat Western lies is how the West defeat the Soviet. When most Russian supermarket had empty shelves and people can barely getting by. Same thing could happen with China and the West, when Maglev train is every where in China and people in China enjoy a better living standard than the West. Then no amount of lies can hide their failures. That's why Western media documentaries and reports always show gloomy, polluted background and rural and slum of China instead of skyscrapers and blue-sky. Because the Western media is so scared to show how success and prosper China has become and sow doubt of Western exceptionalism.
