What do Chinese parents tell their kids about Santa?

My house, and unwitting neighbors, recently hosted a children's Christmas party to which Father Christmas (or Santa, in the United States) rode up on a tricycle.

He sat on an artificial reindeer, complete with red nose, in the front basket.

My son goes to a Chinese kindergarten so we invited two of his best Chinese friends, along with all the other Western and mixed-race children we've known for years.