Officially the PRC views itself as a multi-ethnic nation with 56 recognized ethnicities. The majority Han Chinese ethnicity makes up about 93% of the population and is the majority over about half of the area of the PRC. The Han Chinese itself is relatively racially heterogeneous, and can also be conceived as a large category bringing together many diverse ethnic subgroups sharing common cultural and linguistic characteristics.

The People's Republic of China, in an attempt to limit its population growth, has adopted a policy which limits urban families (ethnic minorities such as Tibetans are an exception) to one child and rural families to two children when the first is female. Because males are considered to be more economically valuable in rural areas, there appears to be a high incidence of sex selective abortion and child abandonment in rural areas to ensure that the second child is male. (See National Geographic's China's Lost Children). This policy only applies to the Han majority. There are numerous orphanages for the children that are abandoned, but approximately 98% of these children are not adopted, and stay in the orphanage until they are an adult. China has instituted a regulated program to permit international adoption, although this only affects a small percentage of the children.

By 2000 this has resulted in a sex ratio at birth of 117 boys being born for every 100 girls which is substantially higher than the natural rate (106 to 100) (but comparable to the ratios in places such as the Caucasus, Taiwan, Hong Kong and South Korea). Although some of this problematic ratio is attributable to sexism, recently, it has been found that it correlates with hepatitis as well. The PRC government is attempting to mitigate this problem by emphasizing the worth of women and has gone so far as to criminalize medical providers from disclosing to parents the sex of an expected baby. The result of the sex ratio bias is that there are now 30–40 million Chinese males who cannot marry Chinese women. Apart from emigration, this may cause an increase in prostitution. In some cases, this has led to kidnappings, where women are abducted from their families, and forcibly sold as wives in distant villages.

The majority Han Chinese speak varieties of spoken Chinese, which can be regarded as either one language or a family of languages. The largest subdivision of spoken Chinese is Mandarin Chinese, with more speakers than any other language on Earth. A standardized version of Mandarin based on the Beijing dialect, known as Putonghua, is taught in schools and used as the official language of the entire country.

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