Employing the Kātyāyana-sūtra as the main literary source, this article explores Buddhist non-dualistic middle way doctrine by rendering a word-for-word translation and philosophical interpretation. This article is divided into five sections. Section one offers a broad outline of this article’s argument and a breakdown of its individual sections. Section two briefly introduces literary genres and textual themes of the Kātyāyana-sūtra. Along the lines of grammatical analysis and textual comparison, section three provides a new Chinese translation of the extant Sanskrit version of the Kātyāyana-sūtra. Section four constructs the doctrine of non-dualistic middle way in the Kātyāyana-sūtra. Section five concludes and summarizes the main points of this article.