As the morbidity of obesity and type 2 diabetes increases, diabetes mellitus complicated with non--alcoholic fatty liver (short for "fatty liver" thereinafter) is also increasing in evidence. Fat deposit in the liver would affect liver's normal functions and aggravate glucose metabolism disorders, resulting in a vicious circle. Based on related references for the past five years, this article is to summarize the present conditions of traditional Chinese medical etiology and pathogenesis, tre...