We conducted anatomical studies of girdled stems of Eucommia ulmoides at various developmental stages to elucidate the origin and development of callus and the vascular cambium. In the transverse view ray initial cells in the cambial zone began to divide both periclinally and anticlinally 2 d after girdling. Fusiform initial cells started to enlarge at 3 d, then gradually proliferated via periclinal divisions. Thus, the callus was derived from the ray initial cells of the cambial zone as well as from fusiform initial cells. In the tangential view callus cells derived from ray initial cells were short while those from fusiform initial cells were long, thereby producing a heterogeneous structure. However the fusiform initial cells underwent transverse divisions 10 d after girdling, which resulted in shorter cells and a homogeneous callus structure. Afterward, some short cells divided transversely while others elongated, so that a heterogeneous form was regained. Finally the vascular meristem that was girdled early in its development rediffer-entiated from short and long cells in the callus. The long cells developed into fusiform initials, with the short ones becoming ray initials.