Abstract： Objective： To observe the clinical effect of modified Huangqin Decoction on children with diarrhea of damp-heat type. Methods：A total of 96 cases of children with diarrhea of damp-heat type were selected and divided into the Chinese medicine group and the western medicine group according to different treatment methods，with 48 cases in each group. The Chinese medicine group was treated with modified Huangqin Decoction， and the western medicine group was treated with oral administration of probiotics. Clinical effects and adverse reactions were compared between the two groups. Traditional Chinese medicine syndrome scores，the scores of the Inflammatory Bowel Disease Questionnaire (IBDQ)，and the levels of inflammatory factors and immune function indicators were compared between the two groups before and after treatment. Results： The total effective rate was 95.83% in the Chinese medicine group， higher than that of 83.33% in the western medicine group (P＜0.05). After treatment， traditional Chinese medicine syndrome scores of stool features， abdominal distension and pain， dry mouth and fever， and lack of strength and lassitude of spirit in the two groups were decreased (P＜0.05)，and the scores in the Chinese medicine group were lower than those in the western medicine group (P＜0.05). After treatment， IBDQ scores of intestinal symptoms， systemic symptoms， emotional domain， and social domain in the two groups were increased (P＜0.05)， and the scores in the Chinese medicine group were higher than those in the western medicine group (P＜0.05). After treatment， the levels of serum interleukin-6 (IL-6) and tumor necrosis factor-α (TNF-α)，high-sensitivity C-reactive protein (hs-CRP) in the two groups were declined (P＜0.05)， and the levels in the Chinese medicine group were lower than those in the western medicine group (P＜0.05). After treatment， the levels of serum immunoglobulin G (IgG)， immunoglobulin M (IgM)， and immunoglobulin A (IgA) in the two groups were increased (P＜0.05)， and the levels in the Chinese medicine group were higher than those in the western medicine group (P＜0.05). There was no significant difference being found in the incidence of adverse reactions between the two groups (P＞0.05). Conclusion： Modified Huangqin Decoction can achieve good clinical effects in the treatment of children with diarrhea of damp-heat type，which can significantly improve traditional Chinese medicine symptoms， reduce body inflammatory reactions，and enhance immunity，with good safety.