Peridotites in the Yarlung Zangbo ophiolite (YZO) have the potential to elaborate the mantle dynamics that operated below the Neo-Tethyan oceanic crust. Here, we measured major and trace element concentrations of minerals (e.g., clinopyroxene, orthopyroxene, olivine, and spinel) in YZO harzburgites and lherzolites to trace the origin and evolution of the YZO. The rare earth element (REE) patterns of clinopyroxenes in lherzolites and harzburgites plot within the field of abyssal and forearc peridotites, respectively, indicating that the latter experienced a higher degree of partial melting. Based on the relative extents of light (LREE) and heavy (HREE) REE depletions in clinopyroxene, we classified the lherzolites into two groups (I and II). The group I clinopyroxenes are depleted in HREEs and enriched in LREEs and MREEs compared to those of group II. Meanwhile, the REE patterns of harzburgite clinopyroxenes are identical to that of group II, although they display lower REE concentrations. Models based on REE abundances in clinopyroxene suggest that group I lherzolites experienced ~8–11% partial melting in the spinel domain, whereas group II lherzolites formed after 5% melting in the garnet domain followed by 6–9% and 9–16% partial melting in the spinel domain, respectively. These high degrees of melting may suggest that the harzburgites formed in a supra-subduction zone (SSZ) setting. Surprisingly, the REE-in-two-pyroxenes thermometer (TREE) shows that the YZO peridotites record high-temperature cooling at 991–1218 °C which is lower than the conditions below mid-oceanic ridges (MORs), but compatible with recent reports of high closure temperatures in forearc environments. Furthermore, our TREE results constrain the cooling rate of the YZO peridotites to ~0.01–0.5 °C/yr, overlapping with rates reported for SSZ, MOR, and abyssal peridotites. By integrating the petrological, geochemical, and thermal features, we tentatively interpret the group I lherzolites accreted in an Early Cretaceous forearc during subduction initiation, whereas the group II lherzolites and the harzburgites formed by further melting of the earlier lherzolites in a SSZ setting.