Cultural diversity is endorsed by many educators as a major teaching concept due to its significance for the achievement of social equity in education. Recently, the use of picture books to promote cultural diversity has become a trend in early-childhood education. This study examines the attitudes of Chinese preschool teachers toward using picture books to teach topics related to cultural diversity, and their reported practices. Seven preschool teachers from four institutions in Shanghai, China, were surveyed, with three key findings. 1) Teachers interpret cultural diversity in a narrow way, and are usually unaware that they are teaching the concept; 2) Teachers adopt a multifaceted approach to selecting the picture books used for teaching cultural diversity, and see the illustrations as the most important criteria; 3) Teachers often supplement the reading of picture books with their experiences. These results have important implications for preschool teachers, curriculum designers, and organizations that provide training to pre- and in-service early-childhood educators.