As a social trend of thought, “Confucian Socialism” has its inherent positive value in that it not only provides a philosophical foundation Marxismi development in China but also provides theoretical resources for the improvement of socialism with Chinese characteristics. However,“Confucian Socialism” is rooted in the traditional Chinese small-scale peasant economy, its theoretical foundation lacks in focus on people's subjectivity, and it lacks scientific practical development path, which determines it is essentially an unrealistic illusion. China socialism, based on the basic economic system, political system of democracy,rule of law,with the “three-step” development strategy, transcends “Confucian socialism”.