The one-minute clip was leaked onto the social media app, WeChat, on Tuesday night. By the next day it had become a top-trending topic on Weibo, China's micro-blogging platform, registering 2.5 million searches and posts, according to local reports.
The Cyberspace Administration of China (CAC), China's internet regulator has condemned the country's two major web portals, Tencent, operators of WeChat, and Sina, operators of Weibo, for allowing the explicit material to be published and spread.
The CAC issued a statement after the clip went viral saying the platforms had "breached some bottom lines and violated core socialist values" in China, where producers of pornography can be sent to prison, according to reports.
It urged the companies to increase their social responsibility, strengthen management and cooperate with the government in investigating the case. It added that the CAC will continue to monitor Chinese cyberspace and that individuals suspected of propagating pornography will be held criminally responsible, reported Beijing News.
Chinese T-shirt vendors have seized on the images and released tops bearing the stills from the video on Taobao, an e-retail site.
On Thursday, searches for the tape had been blocked on Weibo, and previous comments from internet users removed, as the government closed ranks to minimise further coverage.