Sixty-eight patients suffering from diabetes mellitus (DM) type II with Kidney Deficiency and blood stasis were enrolled and divided randomly into treatment group (34 cases) and placebo group (34 healthy subjects). The amount of serum lipid peroxide (LPO), blood lipid and blood sugar was determined. The results showed that the serum LPO in treatment group was higher than that in placebo group. The serum LPO increased significantly in DM patients with vascular disease or with uncontrolled blood sugar. The serum LPO was positively correlated with triglyceride (TG). After using Bushenhuoxue Tablet (BSHX) serum LPO lowered, blood sugar decreased and high density lipoprotein-cholesterol (HDL-C)increased in treatment group, but in placebo group these three parameters were not changed significantly. These results indicated that LPO reaction in type II DM patients increased. The higher the blood sugar and TG or complicated with vascular disease, the LPO reaction enhanced markedly. BSHX tablets have the function of reducing the serum LPO and blood sugar, clearing cholesterol. Therefore, this tablet will have a good prospect in the prevention and treatment for DM patients complicated with vascular disease.