A new species of Epimedium L. (Berberidaceae), E. shennongjiaensis Yan J. Zhang & J. Q. Li, is described and illustrated from the Shennongjia National Nature Reserve, Hubei Province, China. The new species is distinctive and assigned to series Davidianae Stearn of section Diphyllon (Komarov) Stearn because of its large flowers and petals with expanded lamina and elongated spurs. Based on corolla characteristics, it is similar to E. epsteinii Stearn but is distinguished by its compact rhizomes, narrowly ovate and acuminate inner sepals (1.5–1.9 × 0.7–0.9 cm), and petals slightly shorter or nearly as long as the inner sepals with straight spurs (1.5–1.7 cm).