In 1984, Ministry of Education authorized Institute of Ancient Book Studies, Hangzhou University (now Institute of Ancient Book Studies, Zhejiang University) to hold a workshop on Dunhuang studies, which is the predecessor of Center for Dunhuang Studies, Zhejiang University. This center is designed to cultivate talents in Dunhuang studies to fully investigate literature in the Cave for Preserving Buddhist Sutra in Dunhuang found in the early 20^th century.

In the past 30 years, it was initially guided by Prof. Jiang Liangfu, Prof. Jiang Lihong and Prof. Guo Ziyi and then led by Prof. Zhang Yongquan, Prof. Xu Jianping and Prof. Lu Xiangqian to seek truth and innovation. It has acquired fruitful achievements in studies on Dunhuang written language and Dunhuang literature classification and formed academic characteristics of Dunhuang language research. Academic writings, such as A Collection of Phonology in Overseas Dunhuang Works, Interpretation on Dunhuang Narrative Literature, A Collection of Dunhuang Works, Annotation on Dunhuang Works, A Study on Dunhuang Common Words and A Collection of Dunhuang Literature, laid this center as one of the three national centers for Dunhuang researches.