Chili oil, homemade garlic chili sauce, XO sauce, ginger scallion sauce and sweet & sour sauce are an essential condiment in Asian cuisine, especially in Chinese cuisine. This homemade Chinese chili oil is great to serve with noodles, dumplings, pan fried buns and for stir fry dishes like mapo tofu, cashew shrimp and ma yi shang shu. Also, this homemade Chinese chili oil recipe is simple yet delicious and aromatic! Let’s learn how to make Chinese Sichuan style chili oil with step by step photos and a video.
Love Chinese food? Check out these salt & pepper calamari, scrambled egg & shrimp, hairy gourd vermicelli, mouth watering chicken, Chinese cabbage bacon stir fry, almond jello and red bean ice drink recipes.

What is Chinese chili oil?
Chinese chili oil is a condiment and popular in Chinese cuisine. There are different ways and ingredients to make chili oil. Various areas of China, people called them slightly different such as yóu pō là zǐ (油潑辣子 splash hot oil on chili peppers), là yóu (辣油 spicy oil), hóng yóu (紅油 red oil) and là jiāo yóu (辣椒油 chili pepper oil).
In general, chili oil is made from vegetable oil, chili peppers and other spices such as Sichuan peppercorns, ginger and garlic. Also, it is commonly used in Chinese cuisine and Southeast Asia. Besides, it is often used as a dipping sauce for noodles, pan fried buns, meat, vegetables, dim sum and much more.
The process of making Chinese chili oil involves heating the oil and adding other spices to infuse their flavors into the oil. Then, add chili peppers. The mixture is typically simmered or fried until the chili peppers become crispy and release their heat and aroma into the oil. The resulting oil is flavorful, spicy with a reddish color.
What makes this homemade Chinese Sichuan chili oil taste the best?
This homemade Chinese chili oil recipe I am going to share is a Chinese Sichuan style chili oil because Sichuan peppercorns are used which have a numb spiciness. And, this homemade Sichuan chili oil sauce tastes much better than store bought brands because of the aroma from other spices infused into the oil first. Then, add garlic, chili peppers and seasonings to finish up this beautiful and flavorful chili oil.
Also, it is great to use it for mapo tofu, ma yi shang shu, cashew shrimp, pan fried buns, pho noodle soup, wonton noodle soup, Taiwanese beef noodle soup and fried rice which gives more flavor and spicy kick to the dishes.
How hot is this Chinese Sichuan style chili oil recipe?
This Chinese Sichuan chili oil recipe is not too hot. It is more mild to medium because I only used ½ tablespoon of Sichuan peppercorns. You can add more or less Sichuan peppercorns according to your spiciness.
Why make your own chili oil?
People like to make their own chili oil because you can customize the flavor and heat level according to your preferences. Besides, homemade chili oil is fresher and preservative free.
What is the difference between XO sauce and chili oil sauce?
XO sauce and chili oil sauce are types of chili oil. Although they look similar, the ingredients are slightly different. XO sauce is more seafood based like dried shrimp, dried scallops and dried Chinese ham. It is popular and famous in Hong Kong and the southern part of China. On the other hand, this Chinese Sichuan style chili oil is mainly garlic, chili peppers and other spices that infuse the flavor into the oil.
What are the ingredients for homemade Chinese Sichuan chili oil?
In this homemade Chinese Sichuan chili oil recipe, the ingredients are vegetable oil, onion, green onion, ginger, bay leaves, star anise, Sichuan peppercorns, dried chili peppers, garlic, salt, sugar and soy sauce. Personally, I like garlic. Therefore, I added 2 whole pieces of garlic to add more texture and aroma to the chili oil. Besides, you can adjust the spiciness by reducing or increasing the amount of Sichuan peppercorns.

Cooking tips for how to make homemade Chinese Sichuan chili oil:
- Wait until oil is hot around 350 F. You can use a wooden chopstick to test if the oil is hot enough. When you see some little bubbles around the chopstick, it means the oil is hot enough.
- Be careful it will overflow when you put onion, green onion, ginger and other spices into hot oil.
- Add the ingredients slowly or turn the fire to very low when you add the ingredients.
- Let it cook the ingredients for 15 minutes until the fragrance comes out.
- Keep stirring it when adding salt, sugar and soy sauce. To prevent sticking at the bottom of the pot.
- You can adjust the amount of Sichuan peppercorns to your spiciness.
- Since I like garlic, in this recipe I used 2 whole pieces of garlic. (You can just use one whole garlic if you want more oil than the filling.)
FAQs:
Store the chili oil in a sterilized food grade glass jar and tightened with a lid. To sterilize a glass jar, you can wash the glass jars and lids in hot soapy water. Use a bottle brush or sponge to scrub the interior and exterior surfaces of the jar to remove any dirt, residue and labels. Then, rinse the jar and lids with hot water to remove all the soap.
You can boil the jars and lids in hot water for a few minutes. Or, preheat your oven to 275°F (135°C) and place the washed jars on a baking sheet and put it in the oven for about 10-15 minutes. The heat from the oven will help sterilize the glass jars. (Be careful when you take it out. It is hot!)
Some people like to wash the jars and lids in the dishwasher. Then, put the glass jars in the microwave for 1 minute. Be careful it is hot when you take them out, put them on a clean towel or paper towel to let it cool off and dry completely before pouring the chili oil. Usually, I will wait until the chili oil cools off before putting them into a sterilized glass jar.
This recipe can last up to a few months if you store them in a shaded area with a glass container or refrigerate it.
You don’t need to refrigerate chili oil, but storing it in the refrigerator can help maintain its quality and extend its shelf life. To ensure the longevity of chili oil, regardless of refrigeration.
It's important to use clean utensils every time when scooping out the oil and avoid introducing any moisture into the container. Besides, closing the container tightly after each use helps prevent air and moisture from entering it.
Sure! If you use fresh chili peppers, cook them in oil a little longer. The same time as adding minced garlic.
Most of the time, people like to use it for noodles, meat, vegetables and as dipping sauce for dim sum. I use it for pretty much everything like mapo tofu, stir fried vegetables and even mac & cheese! Yes, you are right mac & cheese and alfredo pasta noodles. It does add more flavor to the food!
Instructions for how to make homemade Chinese Sichuan chili oil:

Preparation:
1. Wash and soak 2 cups of dried chili peppers (around 60 grams or 2.1 oz) in a bowl for 15 minutes.

2. Peel 2 whole garlic (2.5 oz).

3. Slice an onion (small).

4. Half a bunch of green onions (5 sticks, 4 oz).

5. Then, put the peeled garlic cloves from step 2 into a chopper. Chop them until they are small. Don't need to be fine.

6. Next, put the soaked dried chili peppers from step 1 into a chopper. Chop them until they are small. The same doesn't need to be fine.

Cooking:
7. After that, heat up 2 cups of vegetable oil.

8. Until it reaches around 350F. You can use a wooden chopstick to test if the oil is hot enough. When you see little bubbles around the chopstick, the oil is hot enough.

9. Slowly put onion and green onion into the hot oil. (Be careful it will overflow when you put onion, green onion, ginger and other spices into hot oil. I suggest turning off the fire or to very low heat when you add them.)

10. Add 6 slices of ginger (1.5 oz), 4 pieces of star anise, 4 bay leaves and ½ tablespoon of Sichuan peppercorns. (You can adjust the amount of peppercorns according to your spiciness.) Let it cook for 15 minutes, so the fragrance will come out.

11. After that, remove all the spices from the oil and put on a plate.

12. The following, slowly add the minced garlic. Stir them once a while and let it cook for 5 minutes.

13. After, add the chopped chili peppers and let it cook for another 10 minutes.

Seasoning:
14. Lastly, add 2 tablespoons salt, 1 tablespoon sugar and 3 tablespoons soy sauce. Keep stirring them until the salt and sugar is melted. Let it cook for another couple minutes after pouring soy sauce. (Be careful when pouring soy sauce, it may overflow. Turn the fire very low or off when you add soy sauce.)

Enjoy this amazing aroma homemade Sichuan chili oil recipe! Also check out these steamed spareribs, Chinese cured pork belly, beef broccoli, lobster yee mien, claypot rice and steamed fish recipes.
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Chili Oil
Equipment
- 1 Pot
- 1 Chopper
Video
Ingredients
- 2 cups Vegetable oil
- 2 whole Garlic (Large, 2.5 oz)
- 2 cups Dried chili peppers (Around 64-76 pieces or 60 grams or 2.1 oz)
- 1 Onion (Small)
- 1 bunch Green onion (5 sticks, 4 oz)
- 6 slices Ginger (1.5 oz)
- 4 pieces Bay leaf
- 4 pieces Star anise
- ½ tablespoon Sichuan peppercorns (Adjust according to your spiciness)
- 2 tablespoons Salt
- 1 tablespoon Sugar
- 3 tablespoons Soy sauce
Instructions
- Wash and soak 2 cups of dried chili peppers (around 60 grams or 2.1 oz) in a bowl for 15 minutes.
- Peel 2 whole garlic (2.5 oz).
- Slice an onion (small).
- Half a bunch of green onions (5 sticks, 4 oz).
- Then, put the peeled garlic cloves from step 2 into a chopper. Chop them until they are small. Don't need to be fine.
- Next, put the soaked dried chili peppers from step 1 into a chopper. Chop them until they are small. The same doesn't need to be fine.
- After that, heat up 2 cups of vegetable oil.
- Until it reaches around 350F. You can use a wooden chopstick to test if the oil is hot enough. When you see little bubbles around the chopstick, the oil is hot enough.
- Slowly put onion and green onion into the hot oil. (Be careful it will overflow when you put onion, green onion, ginger and other spices into hot oil. I suggest turning off the fire or to very low heat when you add them.)
- Add 6 slices of ginger (1.5 oz), 4 pieces of star anise, 4 bay leaves and ½ tablespoon of Sichuan peppercorns. (You can adjust the amount of peppercorns according to your spiciness.) Let it cook for 15 minutes, so the fragrance will come out.
- After that, remove all the spices from the oil and put on a plate.
- The following, slowly add the minced garlic. Stir them once a while and let it cook for 5 minutes.
- After, add the chopped chili peppers and let it cook for another 10 minutes.
- Lastly, add 2 tablespoons salt, 1 tablespoon sugar and 3 tablespoons soy sauce. Keep stirring them until the salt and sugar is melted. Let it cook for another couple minutes after pouring soy sauce. (Be careful when pouring soy sauce, it may overflow. Turn the fire very low or off when you add soy sauce.)
Notes
Cooking tips for how to make chili oil:
- Wait until oil is hot around 350 F. You can use a wooden chopstick to test if the oil is hot enough. When you see some little bubbles around the chopstick, it means the oil is hot enough.
- Be careful it will overflow when you put onion, green onion, ginger and other spices into hot oil.
- Add the ingredients slowly or turn the fire to very low when you add the ingredients.
- Let it cook the ingredients for 15 minutes until the fragrance comes out.
- Keep stirring it when adding salt, sugar and soy sauce. To prevent sticking at the bottom of the pot.
- You can adjust the amount of Sichuan peppercorns to your spiciness.
- Since I like garlic, in this recipe I used 2 whole pieces of garlic. (You can just use one whole garlic if you want more oil than the filling.)
Parita Neupane says
what you do after Step 10. Add 6 slices of ginger, 4 pieces of star anise, 4 bay leaves and ½ tablespoon of Sichuan peppercorns. (You can adjust the amount of peppercorns according to your spiciness.) Let it cook for 15 minutes, so the fragrance will come out. I didn't see in the recipe what to do with it? blend it and put it in chilli oil?
Tracy O. says
Hi Parita,
Thank you for your comment. After step 10, (11. After that, remove all the spices and put on a plate.) Did you see step 11 when you scroll down the recipe? Step 9 and 10 are deep frying the spices. After deep frying the spices, remove them from the oil and put them on the plate. You can also watch the video below the recipe card. I hope this helps.
Jen says
I've been making this Chili Oil for the last 2 years. It is the best chili oil I've ever tasted and so easy to make! I give it away to friends and family and they agree that it's better than any other chili oil they've tried.
I cannot recommend this oil enough.
Tracy O. says
Hi Jen,
Thank you so much for your comment! I am so glad you like it.