The objectives of this study are (i) to explore the History, Development, and Current Situation of Nanyang Dushan Jade and (ii) to investigate the Literacy Education and Local Wisdom of Nanyang Dushan Jade Carving from the perspective of Intangible Cultural Heritage Protection. This research is a qualitative study that mainly uses the concepts of Literacy Education and Local Wisdom. It adopts two data collection methods, literature research, and field research, and is presented in the form of Descriptive Analysis. The research results show that Dushan Jade is a rare Jade mineral resource in Nanyang, China, with a long history. With the development of society, the improvement of the audience's cognitive level, and the continuous inheritance and innovation of Jade Carving Techniques, a rich and colorful Nanyang Jade Culture and Local Wisdom have been derived. Under the demand for Contemporary Aesthetics, Nanyang Dushan Jade has been further developed regarding production Technology, Product Types, and Literacy Education. This study explores the Local Wisdom and Literacy Education Model, Principles, and Strategies of Nanyang Dushan Jade in its historical development from the Intangible Cultural Heritage Protection perspective. This is of great value in enriching theoretical research on Literacy Education and Promoting the Protection, Inheritance, Innovation, and Development of China's Intangible Cultural Heritage.