I think it would be unfair to umbrella all chinese restaurants into one unsafe category. There are several good places that are inspected and fine to eat at. Putting them all into an unsafe category is unfair and would put alot of honest, hardworking individuals out of work and onto welfare, which is something we certainly don't need more of.
The food scandal in China has again tarnished the fast-food industry's reputation- or what is left of it. While it is true that the ingredients used in fast food are not healthy for our blood pressure, cholesterol, dental health, heart health, or weight, fast-food is still "safe" in the sense that it will not cause any immediate danger when cooked and handled properly.
After the reports of very unsafe handling of food, customers should be very cautious before they eat at fast food restaurants in China. The best option would be for the fast food franchises to have quick, public investigations into the problem and show what has been done. Perhaps then they can regain some trust, but until then the public should avoid them.
KFC and McDonald's in China were apparently serving rotten meat to consumers; their supplier was changing the expiration date in order to sell it. If we're completely honest and cautious, restaurants aren't necessarily safe to eat at. A sick chef, for example, can pass along an illness to many people. A family member of mine had to have extensive medical care due to catching the norovirus from a restaurant; other family members of mine had food poisoning from a restaurant worse many years ago and had to have their gallbladders removed. While these are exceptional cases, people need to be aware of the possibilities of getting ill, and then decide whether or not it's worth the risk to eat out. Most people prefer the convenience and are willing to take the risk.