Although the need to develop objective assessment tools in different cultures is well‐recognized, there is a severe lack of objective measures about emotional functioning in the Chinese context. This project conducted three studies to validate the Chinese version of the Differentiation of Self Inventory (DSI). Study 1 looked at the factor structure, internal consistency, concurrent validity, and construct validity of the C‐DSI. Study 2 examined the test–retest reliability of the C‐DSI. Study 3 tested the discriminant validity of the C‐DSI in a clinical sample and in a nonclinical sample and examined its correlations with the General Contentment Scale (GCS). The study results suggested that the C‐DSI possesses good psychometric properties. Findings also indicated implications of divergent cultures and hinted at treatment implications—taking the familistic orientation and the Chinese meaning of self into consideration to understand the differentiation of self in the Chinese culture context.