No one is forcing companies to do joint ventures. These companies have the option to refuse and not operate in China. Are countries not allowed to impose restrictions on foreign companies?
What is being proposed here is to treat China, and Chinese companies, the exact same way as American companies are treated in China. So, yes, countries are free to have whatever restrictions they want. But we, the western world, must not allow China to abuse our open markets while shielding their markets.
I have no problem with this. Though US' strength has always been insidiously entering foreign markets and forcing developing countries to be dependent on US tech (e.g India, EU, GB). The more US decouples from China in terms of tech, the more incentive you are giving China to be tech independent and thus, be free of US hegemony.