China is the world's largest developing country and second largest economy. China actively promoted international development and cooperation. China’s foreign assistance has kept growing. This article reviews the development of China’s foreign aid and presents the strategic goals of China’s foreign aid, including expanding China’s international influence, seeking support from other countries in international organizations, shaping a Beijing-dominated international order, and providing alternative model for other countries. In fact, this article finds that China’s foreign aid has produced some effects and trends, including the competition and confrontation of aid diplomacy among major powers, causing failed countries to fall into a “debt trap,” and not pressure recipient countries to reform to ensure close bilateral relations. In addition, China may hide military objectives in its foreign aid policy.