Beijing is far from completing its preparation for the orderly control of Macao after its return to mainland China on December 20, 1999. One particular area of our concern is in the preparation work for the localization of law there. In order to cope with the practical need in the future, Beijing will have to revise the current law in Macao which is based mostly on the Portuguese practice. This paper will first review both the law and the judicial system currently adopted in Macao, then provide an analysis of the content of the localization of the law. Finally, it will examine the difficulties in localizing the law in Macao and discuss the possible impact of such a situation on Macao's future social development.