High-speed maglev with 500 km/h operational velocity can be used for practical passenger transport in the first part of 21st century. It has obvious advantages for long distance, high capacity passenger transport between large cities. From the practical development needs and real situation of the passenger transport in China, based on the detailed analysis of the international progress, after quite serious discussion, since 1998 a suggestion for the development strategy of high-speed maglev in China has been formed. The strategy is suggested to have five steps, i.e. ： a. Study on the strategic position of high-speed maglev in China´s passenger transportation system. b. Construction of a short test and operational demonstration line based on the imported technology, c. Feasibility study for long distance operational line and organization of the internal R & D and engineering work. d. Construction of a long distance operational line and commercialization of the equipmens and engineering. e. Gradual realization of the high-speed maglev network in the country. Some quite encouraging progress has been achieved, and reported in present paper. Suggestion and prospect of near future work are also outlined.