Abstract: Biomass is an important renewable carbon resource that only can be conversed into liquid fuels to substitute for normal fuels and other chemicals made from fossil energy. The technology to converse solid biomass energy into bio-oil by thermo-chemical is the important way. The main ways of research and industrialization to prepare bio-oil from biomass by thermo-chemical in domestic and abroad are reviewed. The possibility to develop biomass liquid fuels and the problems exist in China is also discussed. According to the situation of biomass energy in China, the developing trend and some proposals on thermo-chemical utilization of biomass energy in future are presented.