We previously showed that the VASCULAR-RELATED NAC-DOMAIN6 (VND6) and VND7 genes, which encode NAM/ ATAF/CUC domain protein transcription factors, act as key regulators of xylem vessel differentiation. Here, we report a glucocorticoid-mediated posttranslational induction system of VND6 and VND7. In this system, VND6 or VND7 is expressed as a fused protein with the activation domain of the herpes virus VP16 protein and hormone-binding domain of the animal glucocorticoid receptor, and the protein's activity is induced by treatment with dexamethasone (DEX), a glucocorticoid derivative. Upon DEX treatment, transgenic Arabidopsis (Arabidopsis thaliana) plants carrying the chimeric gene exhibited transdifferentiation of various types of cells into xylem vessel elements, and the plants died. Many genes involved in xylem vessel differentiation, such as secondary wall biosynthesis and programmed cell death, were up-regulated in these plants after DEX treatment. Chemical analysis showed that xylan, a major hemicellulose component of the dicot secondary cell wall, was increased in the transgenic plants after DEX treatment. This induction system worked in poplar (Populus tremula 3 tremuloides) trees and in suspension cultures of cells from Arabidopsis and tobacco (Nicotiana tabacum); more than 90% of the tobacco BY-2 cells expressing VND7-VP16-GR transdifferentiated into xylem vessel elements after DEX treatment. These data demonstrate that the induction systems controlling VND6 and VND7 activities can be used as powerful tools for understanding xylem cell differentiation.Secondary cell wall formation is one of the characteristic features of plant cells. This structure is found in several types of plant cells, such as xylem vessels and fiber cells, as additional thick layers between the primary cell wall and plasma membrane. The major components of primary cell wall are cellulose, hemicellulose, and pectin. Secondary wall contains a wide range of additional compounds, e.g. a complex phenolic polymer, lignin, in xylem cells, which are believed to modify mechanical properties and permeability of walls.Secondary wall formation has been intensively studied during xylem cell differentiation. Recently, several NAM/ATAF/CUC (NAC) domain protein transcription factors were shown to play crucial roles in specification into distinct xylem cells (Demura and Fukuda, 2007;. The genes for VASCULAR-RELATED NAC-DOMAIN1 (VND1) through VND7 are preferentially expressed in differentiating xylem vessels (Kubo et al., 2005;Yamaguchi et al., 2008), and the overexpression of VND6 and VND7 can induce the ectopic differentiation of metaxylem-like vessels and protoxylem-like