To provide scientific basis for the establishment of genetic transformation system of Cunninghamia lanceolata ( Chinese fir) , study on the development of cell tissue in the process of callus formation and regeneration bud differentiation of Chinese fir. The stem segments of Chinese fir were used as explants, analysis of the callus structure, formation and development of cell tissue during the differentiation of regeneration bud were studied with stereomicroscope and paraffin sections. The results showed that callus was first formed from the the epidermal cells split at the incision of stem segments, then gradually formed by the dedifferentiation of vascular parenchyma cells; during the proliferation of callus, meristematic cells would form different vascular tissues; the regeneration bud differentiation of callus was from the epidermal meristem cell of callus, which first forms the bud primordium, and finally formed the visible regenerated bud; adventitious bud can be differentiated from explants directly, or through the incision produced callus. Two kinds of adventitious bud formation way were external origin.