Tipping or gratuities are not common practice in most sectors of Chinese life, although it has become the norm to tip the tour guide and driver, hotel bellboy in recognition of their good service. It is not customary to leave tips at local restaurants. Of course you don't have to. However, anything you do give will be much appreciated.
For some people foreign books/DVD and music CDs, for others perfume or other small gifts are equally appreciated . As a guide, if you would prepared to give a gift in your home country to a friend, the same gift would be acceptable in China. If you wouldn't give it at home, then it's probably not acceptable here. Products that are "Made in China" are not seen as special.
Where the tour guide and driver are concerned, tipping become a standard part of this culture, even though it may not be in your home country. The guides are paid commission on sales of products at the shops that they take people too. Times china tours control this situation very strictly so that our customers are not continually taken to tourist traps. Times china tours guides and drivers are paid for their services so our customers are under no pressure to tip. However guides and drivers will always appreciate a sign that their services have been appreciated.