Associated with the aging of our world population is a sharp increase in the incidence of Alzheimer's disease, which not only poses a significant health issue but also presents a serious social problem. Although pharmacological treatments were developed based on existing hypotheses, the disease pathogenesis remains to be fully elucidated. Given the complexity of Alzheimer's disease, Chinese herbal medicine appears to have therapeutic potential for Alzheimer's disease through multi-target and multi-pathway approach at cellular and molecular levels and holistic adjustment of the body at organ system levels. Recently, a significant breakthrough has been made in the research of Chinese medicine for Alzheimer's disease. In this article, we review the experimental research progress in understanding how Chinese medicine could be used for the treatment of Alzheimer's disease.