Since this hasn't been updated in a few years, just thought I'd confirm that HFCAMPO's post is still pretty accurate, save a few changes:
Step 1 – Get translation of current license at The Translators Association of Yunnan Province - 云南翻译工作者协会 (2 Guo Fang Road - 国防路2号). Cost is now only 30RMB for the translation. MAKE SURE YOU PROVIDE A CHINESE NAME ON THE TRANSLATION.
The Online Quiz at www.shekouonline.com/drivingtest.html is helpful, but some vital info is missing, like drunk driving costs 12 points, and speeding over 50% is also 12 points ... I spent quite a few hours condensing down the questions and answers into a semi-compact supplemental study guide, if anyone wants a copy feel free to message me about it.
Step 2 – Prepare items to bring when taking the test:
1. Drivers License (front and back) and Translated Drivers License, + Copies.
2. Passport with Current Visa Page and stamp of last entry, + copies of all pages.
3. Household Registration form + copy.
4. 4 Passport Photos.
5. 60 RMB for the exam.
6. 12 RMB for the physical.
7. 10 RMB for the license.
Step 3 – Where to go:
12 Jing Kai Road 经开路12号
昆明市车管所 – Kunming Shi Che Guan Suo (Kunming Vehicle Management Station)
The office hours of the Kunmnig Cheguan Suo are 9a-11:30a and 1:30p-laterish.
Took the test today and passed the second time, you can take it twice in one day for just one fee; if you don't pass in one day you'll have to come back another day and pay the RMB 60 fee again.