Cheongpyesagan-tang (CP) is one of the traditional medicinal prescription to treat Taeumin (太陰人)`s disease. It has been commonly used for the treatment of stroke, arthritis, diabetes and obesity. In this study, we investigated an anti-inflammatory potential of CP water extract. We examined the effects of CP on the lipopolysarccharide (LPS)-induced production of nitric oxide (NO) and prostaglandin E2 (PGE2). We also examined the levels of protein or mRNA of inducible nitric oxide synthase (iNOS), cyclooxygenase-2 (COX-2) and proinflammatory cytokines in RAW 264.7 cells. CP inhibited NO and PGE2 production in a dose dependent manner and decreased the protein and mRNA expression of iNOS and COX-2. Also, CP decreased the mRNA expression of interleukin-6 (IL-6), interleukin-1β (IL-1β), tumor necrosis factor-α (TNF-α). These results suggest that CP has potential as anti-inflammatory therapeutic medicine.