According to current archaeological discoveries, Chinese folk music dates back 7000 years. Not only in form but also in artistic conception, China has been the home of a colorful culture of folk music. Largely based on the pentatonic scale, Chinese folk music is different from western traditional music, paying more attention to the form expression as well.

Han traditional weddings and funerals usually include a form of oboe called a suona and percussive ensembles called chuigushou. Ensembles consisting of mouth organs (sheng), shawms (suona), flutes (dizi) and percussion instruments (especially yunluo gongs) are popular in northern villages; their music is descended from the imperial temple music of Beijing, Xi'an, Wutai shan and Tianjin. Xi'an drum music, consisting of wind and percussive instruments, is popular around Xi'an, and has received some commercial popularity outside of China. Another important instrument is the sheng, pipes, an ancient instrument that is ancestor of all Western free reed instruments, such as the accordion. Parades led by Western-type brass bands are common, often competing in volume with a shawm/chuigushou band.

In southern Fujian and Taiwan, Nanyin or Nanguan is a genre of traditional ballads. They are sung by a woman accompanied by a xiao and a pipa, as well as other traditional instruments. The music is generally sorrowful and typically deals with a love-stricken women. Further south, in Shantou, Hakka and Chaozhou, erxian and zheng ensembles are popular.
Sizhu ensembles use flutes and bowed or plucked string instruments to make harmonious and melodious music that has become popular in the West among some listeners. These are popular in Nanjing and Hangzhou, as well as elsewhere along the southern Yangtze area. Sizhu has been secularized in cities but remains spiritual in rural areas.

Jiangnan Sizhu (silk and bamboo music from Jiangnan) is a style of instrumental music, often played by amateur musicians in tea houses in Shanghai; it has become widely known outside of its place of origin.

Guangdong Music or Cantonese Music is instrumental music from Guangzhou and surrounding areas. It is based on Yueju (Cantonese Opera) music, together with new compositions from the 1920s onwards. Many pieces have influences from jazz and Western music, using syncopation and triple time. This music tells stories and myths, maybe legends.

One of the most popular folk songs of China is Mo Li Hua ("Beautiful Jasmine").