The wood is used in traditional Chinese medicine. Trees of the
genus, not just of this species, when wounded and infected with
certain fungi produce a resin-rich wood called aloeswood or oud,
which is used in incense and perfumery. People often damage the
trees in the hopes that they will produce such wood, which puts
them at further risk.
Some of the tropical species of the genus are being cultivated
in large numbers, but even so their wild populations are
endangered. There may nowadays be some cultivation of A. sinensis
as well -- I don't know -- but even this would not prevent damage
to and cutting of existing trees by people seeking an illicit
profit.