Abstract: Teacher education in the world suffers from some longstanding dilemmas. In this article, three major dilemmas, balance of disciplinary and pedagogical training, relation of theory to practice and role of teacher education as reproductive or as change agent are examined in a culture that has a long history of powerful traditions yet is in the midst of tremendous social and economic transformation. The story of preservice teacher education in a moment of transition and its effort to resolve recurrent dilemmas with new meanings vividly presents itself in the reform process of the mathematics departments of the two teacher education institutions of Shanghai.