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As a side note, my impression is that cultural exports from Hong Kong have declined a fair bit since China took over the island. (Japan and (especially) South Korea seem to dominate Asian cultural exports at the moment).

I think a big issue regarding China and culture is that, with their need for "great firewalls" and the like, they've effectively removed a huge channel for people to communicate their ideas and culture outside the nation. I'm sure there is a lot of stuff going on in Chinese culture that we don't know about; the problem is, with many Western social media channels blocked inside the country, it is probably much more difficult for Chinese to obtain a non-Chinese audience online even if they wanted to.