Fly in from one city to Shanghai and fly to another city within Europe, OK?

Each of the Schengen countries are considered different countries for transit purposes

Munich -> Shanghai -> Brussels is what matters. if you have any landings not mentioned, such as transiting Germany or Belgium twice, or other mainland china cities then it would not be eligible

JD, it is important that you are not a Norwegian citizen because Norwegian passport holders are not eligible for 144 hour visa free transit!