Phuket > Kuala Lumpur > Shanghai > Phuket

I plan on travelling to Shanghai from Phuket (British Citizen) and making use of this visa free rule. I can fly to Kuala Lumpur from phuket much cheaper and faster than getting a chinese visa. I then plan on flying to Shanghai and back to Phuket after 3 days. Is this ok, as I will essentially be Malaysia > China > Thailand.

Cheers.