sajhafan, yes, that is true, last time I had transit in Shanghai and Kunming. The total transit in China was about 20 hours. I did not have Transit visa from Embassy. When I landed in Shanghai, the Chinese Immigration stamped 24 hour stay permit (valid until next day) on my passport. They give departure card that I had to submit back to immigration before I departed from Kunming. You are not allowed to leave airport with this 24 hour transit visa, so I suggest do not even hang out near the airport exit doors. Sometimes the officers randomly stop and ask questions and it's not easy to explain to them in English. I don't think you can even go to hotel with this visa.