The Iranian team was defeated against the Asian giant 84-73 on Friday.
Team Melli had lost to China 77-68 in its first warm-up match held on Thursday.
Iran basketball team has traveled to China without Hamed Haddadi and Arsalan Kazemi.
Iran is preparing for the 2018 Asian Games in Jakarta, Indonesia.
The 2018 edition of the Asian Games will be held from August 18 to September 2.
China is the most-decorated basketball team in Asian Games, winning the title seven times, followed by South Korea and the Philippines with four titles each.
Iran became runner-up in the previous edition, losing to host South Korea in the final match.