Abstract: Litsea pungens Hemsl (LPH) is one of spicy for both medicine and food for its strong ability of antibacterial, anti-inflammatory and anti-cancer effects and strong lemon aroma characteristic that can remove the fishy odor and increase the overall flavor quality of dishes. The terpenoids are the main aroma compounds in LPH. Citral, the representative terpenoids, has significant biological activities. D-Limonene, (Z)-3,7-dimethyl-2,6-octadienal, (E)-3,7-dimethyl-2,6-octadienal, β-myrcene, ethyl (2E)-3-phenylacrylate, and β-caryophyllene are the key odorants of LPH. This paper mainly introduces the population distributions of LPH in China, recent progressive in aroma compounds, the biological activity, and the metabolic pathway of main terpenoids in LPH so as to provide scientific evidence for the resource development and comprehensive utilization of LPH.