This is exactly what I feared. I do not think there is a way to avoid having to go to immigration, pick up bags, and re-check in. What a terrible airport for an international connection. If you have a short connection like <2 hours then you risk missing your flight. And if you have a long connection for example >5 hours, then AC staff won't even be at the check-in counter.
I called AC concierge, then they reached out to the PVG concierge specifically, and unfortunately they confirmed that is the case. So I am not sure why Wpgjetse says he never had to pick up his bags in PVG on a transfer *A to AC (in post #5 above - perhaps stale info by now).
The frustrating thing is that there is a process set up for a few airlines, so it's not like logistics simply cannot accommodate international transfers in that airport. So why just a handful of airlines?
As bad as PEK is for a transfer, I think PVG takes the cake. So I agree with Transpacificflyer: I will avoid PVG in the future - TYO, ICN, HKG, TPE should be the choices, and if all else fails, then PEK. But PVG no more.