Abstract: The Permian strata in the Simao Basin, Yunnan may be divided, on the basis of sequence boundaries and condensed horizons in combination with the field observations along the Zhendong-Dehua sections, into two second-order sequences and nine third-order sequenes including three Lower Permian sequences and six Upper Permian sequences. These sequences may be well compared both throughout the basin and even southern China, implying that a correlation can also be made in eustatic fluctuations, tectonism and sedimentary evolution in southern China.