According to Tencent, the recruitment wing of the PLA Air Force was a consultant during the game's development, which might have helped win approval.
Game approvals in China suffered a nine-month hiatus previous year after an administrative reshuffle in March created a major backlog plus a breakdown in command.
In the meantime, "Game for Peace", another Tencent-licensed game similar to "Battlegrounds", will open its test to players on Wednesday.
Though unconfirmed, it's possible that approval problems for the PUBG Mobile games could stem from a block of South Korean game releases in China, which is where PUBG Corp is based.
The China gaming industry had been watching to see whether Tencent would gain approval to permanently offer PUBG Mobile due to its potential to generate big profits for the company.
"It's nearly exactly the same", she said. PBUG users can pull their profiles and in-app purchases to the new game as they switch to "Game for Peace". "The game play, the background, the graphic design and the characters, they're nearly the same".
Tencent claims however that "they are very different genres of games".
A spokeswoman for Krafton said the firm was looking into PUBG's status in China and declined to comment further.
Tencent explained in a Weibo [Chinese] post (via Reuters) that testing for PUBG in the country is being suspended. Some players have even had their progress carry on from the original game.
Changes include the absence of gore and blood in Game for Peace, and characters sit up and wave goodbye when they're killed.