I'm pretty sure it's a recent phenomenon and strictly a PRC thing.
Chinese love the red color. Dressing up in red to celecbrate is a Chinese tradition. Red ribbons are considered a simplified version of the full robes or wraps in red.
Not only people such as newly married couples and new recruits, many things in daily life can be dressed up in red, too, depending on the occasion - the main truss of new houses, entrances and windows of houses, newly acquired big household items (bicycles, motorbikes, cars, or cattles like horses, oxes), new capital equipments like tructors and trucks, etc. In some areas, even new tombstones are wrapped in red ribbons. The list can go on and on.