The occurrence of liver cancer is a multi-phase and multi-factor process, while Chinese medicine used for antitumor is all-round with multiple approaches. This summary is a literature review which elaborates the prevention and treatment of Chinese medicine to the molecular mechanism of liver cancer in eight aspects, such as inhibiting the proliferation of hepatoma cell, inducing their differentiation, affecting the activity of telomerase, resisting the invasion and metastasis of hepatoma cell, inhibiting the formation of tumor vessel, adjusting the immunity function, and reversing the multidrug resistance, etc.