The school is a primary context in which children and teenagers learn and interact with others. Chinese school professionals have attached great importance to students' psychological health (Huang, 2012). However, in traditional Chinese psychology, psychological education referred to educational activities, such as mental health classes, psychological counseling, and psychological guidance. All of these practices used principles and methods that focused on mental illness. Thus, Chinese traditional psychological education was problem/illness-based, attending primarily to students' psychological problems and defects. Because this narrow model of psychological education addressed only the few students who displayed severe deficits, instead of preventing all students' psychological problems or promoting all students' physical and mental health development, it was limited in its contribution to Chinese school education (Zhou, 2010). The rise of positive psychology and its introduction into China provides a new perspective for Chinese education; that is, that all students have strengths. Since positive psychology is people-based, and focuses on the positive development of student potentials and the enhancement of student happiness instead of only treating mental illness, it has gained much attention from Chinese school professionals. In the course of research, Chinese educators have not only begun paying attention to the academic studies on positive psychology, but they have also begun putting the findings into practice. The purpose of this article is to introduce some typical academic studies on positive psychology in China, including studies of subjective well-being (SWB), resilience, and psychological suzhi (a locally proposed psychological concept), and to summarize some practical applications of positive psychology in Chinese schools, both in daily classroom teaching and school counseling.