Abstract: The Qaidam Basin is located on the Qinghai-Tibetan Plateau. The annual average precipitation is only about 110 mm. The ecological environment is extremely vulnerable. Under the context of global warming, temperature and precipitation have significantly increased in recent years, so the climate is gradually becoming warmer and more humid. The purpose of this study was to analyze vegetation dynamics using the NDVI (Normalized Difference Vegetation Index) and vegetation succession based on monthly temperature, precipitation, etc. in 10 meteorological stations in Qaidam Basin during 1961-2016, satellite remote sensing data from GIMMS (Global Inventory Modelling and Mapping Studies), and MODIS (Moderate-Resolution Imaging Spectroradiometer) data from 1982 to 2016. The linear trend analysis and comprehensive sequence classification methods were used to assess trends. The results showed that the NDVI increased significantly in the alpine area around the basin and the arid desert area in the basin during the period between 1982 and 2016 by 0.0090/10 yrs and 0.0011/10 yrs, respectively. The NDVI showed a slight increasing trend in temperate desert and lowland meadow vegetation; 0.0011/10 yrs and 0.0036/10 yrs, respectively, while the NDVI increased significantly in alpine meadow vegetation (0.0058/10 yrs). The climate is extremely arid in Qaidam Basin with water being the main factor limiting vegetation growth and development. The vegetation NDVI had a significant positive correlation with precipitation and a negative correlation with evaporation. The vegetation is gradually changing to species adapted to warm and moist conditions after the abrupt temperature increase in 1987.