Technology (like GMOs) can help you make incrementally more efficient use of those resources, but not as fast as unbounded exponential population growth.
At some point, the average standard of living has to come crashing down. The biologically necessary quantity of food and water is not available for everyone. Even with unlimited labor to supply factories, there are no more raw materials to make gadgets and medicine out of.
A country in that situation has basically one reasonable course of action: kill the neighbors and take their resources.
China is arguably being a good world citizen by trying not to put itself in that position.
You may find this statist interference with a natural process distasteful, but consider the alternative: only the fittest get to survive.