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Yesterday's underware or other clothing used after a shower to dry body - a quick rub down, or at least lower section of body - in the case that a real towel is for some reason unavailable. Called that as China for whatever reason has nationally not yet caught on to the idea of the full body towel.
"My dog peed on my bathside towel during my shower, so I had to resort to using a Chinese Towel."

"Scott's really never forgiven me for using his new Ecko t-shirt as a Chinese Towel that night he slept over."
by JKKJ November 24, 2007
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