Traditional Chinese medicine residue (TCMR) was utilized as an inexpensive carbon source for the production of poly(3-hydroxybutyrate) (PHB) using the newly isolated Bacillus altitudinis HBU-SI7. The results showed that Yu Ping Feng TCMR could be directly hydrolysed by cellulase to obtain a high proportion of glucose (99 % of total sugar) without pretreatment, achieving an enzymatic hydrolysis rate of up to 89.2 %. B. altitudinis could grow and produce PHB when using enzymatically hydrolysed TCMR in a 5-L fermenter. After 20 h of fermentation, the maximum concentration of PHB was 11.2 g/L, and the highest cell dry weight (CDW) was 15.4 g/L, with 72.7 % of the PHB fraction in CDW. Moreover, this strain could utilize enzymatic hydrolysates from various herbal formulas to produce high levels of PHB. This novel approach aims to accumulate PHB from TCMR hydrolysates, offering an effective and environmentally friendly method to reduce production costs and achieve mass production.