We examined the developmental relationship between cognitive-linguistic skills (nonverbal IQ, vocabulary, phonological awareness, rapid automatised naming [RAN]), home environment factors (direct teaching, shared book reading, access to literacy resources, parents' expectations, family's socioeconomic status [SES]), and pinyin letter knowledge in kindergarten, pinyin reading accuracy at the beginning of Grade 1, and pinyin reading fluency at the middle of Grade 1 in a sample of 159 Chinese children (mean age = 72.70 months). Results showed that phonological awareness, RAN, and direct teaching were associated with pinyin letter knowledge. RAN consistently predicted pinyin reading accuracy and fluency. Moreover, parents' expectations and family's SES predicted pinyin reading indirectly through RAN and direct teaching. These findings suggest that the cognitive-linguistic and home environment predictors of pinyin reading are similar to those for Chinese reading, except that vocabulary and access to literacy resources may be less important for pinyin reading.