Objective To summarize the progress of surgical treatment of hepatocellular carcinoma (HCC) and related basic research at the Liver Cancer Institute of Shanghai Medical University in the recent years, with special reference to recurrence and metastasis. Methods Published and unpublished update clinical and experimental data in the above-mentioned areas are summarized. Results Surgical re section ha s played an important role in improving prognosis of HCC, the 5-year survival were 63.4% for small HCC resection (n=806), 39.6% for large HCC resection (n=1061), 64.7% for cytoreduction (using hepatic artery cannulation and ligation) and sequential resection of initially unresectable HCC (n=93), 56.0% for cytoreduction using transcatheter arterial chemoembolization (TACE) and followed by re section (n=65), and 22.4% for hepatic resection with removal of tumor thrombi in portal vein (n=103). Unfortunately, the 5-year recurrent rate after curative resection of HCC was up to 61.5%, which was mainly a result of intrahepatic "metastasis" and multicentric origin of HCC1 Clinically, re-re section of subclinical recurrence yielded 56% of 5-year survival (n=202); prevention of recurrence by transcatheter arterial chemoembolization (TACE)+Interferon, or LAK/IL-2 therapy have decreased 3-year recurrent rate from 33% to 11%-18%. In experimental aspect, meta static human HCC model in nude mice (LCI-D20) and HCC cell line with meta static potential (MHCC97) have been established; studies on HCC invasiveness in the molecular level revealed similar results that reported in other solid cancers, and small HCC showed slightly better biological characteristics as compared with large HCC; microvessel density (MVD) that reflecting angiogenesis adversely correlated with 5-year survival of small HCC; experimental interventions using antisense H-ras, bispecific antibody, BB94, as well as anti-angiogenic agents (TNP470, suramin, CAI, heparin, antisense VEGF, etc.) have been demonstrated to inhibit tumor growth and lung metastasis in nude mice model. Conclusions Recurrence and metastasis are the major obstacle to further improve prognosis of HCC, studies should be conducted both in clinical and experimental aspects, "HCC invasiveness" will be the major target to be studied, particularly in the molecular level, and anti-angiogenesis will be one of the important approach.