In main land China the traffic drives on the right-hand side of the road. Various neighbors —Macau,India,Nepal and Pakistan— drive on the left.
Road Traffic Safety Law of the People's Republic of China
The official driving code in the People's Republic of China is the Road Traffic Safety Law of the People's Republic of China (中华人民共和国道路交通安全法). There is a supplementary regulation to the Road Traffic Safety Law (中华人民共和国道路交通安全法实施条例) which specifies how specific regulations in the main law are supposed to be carried out.
Supplementary regulation to the Road Traffic Safety Law
Increasingly Chinese Police tend to accept the IDP (also called IDL or IDD), or translations to the format of an IDP. They focus very much on their on the spot judgement of the driver being sufficiently skilled and experienced to drive safely with respect to his own and others safety.
In case of an accident, if it is minor as a scrape, most people just drive on. If you stop and agree about whatever, you can then continue. It is common that the failing driver pay money to the other drivers and that is then the end of the matter. If you disagree, you must not move the cars until the police arrive, which can take time. They usually check registration and licenses, and photograph the incident. In case of personal injury, you should stop and offer assistance.
If you suspect that the police has taken bribes from the other party, which happens, make them aware that you know about the Ministry of Supervision (which ruthlessly deals with corruption), the Olympic Committee and the Tourist Complaint Board. It can have a profound effect on procedures. Police in China is usually very helpful and understanding towards visitors.