Reading literacy is the core component of Chinese literacy and the basic ability needed in students' personal development. From the experience of international curriculum and teaching reform, project-based learning is an important way to train students' core literacy. In this context, this paper explores the impact of project-based learning on reading literacy of primary school students in blended learning environment by adopting a mixed-method design. The results show that, compared with traditional teaching, project-based learning is more conducive to promoting primary students' reading behavior and attitude, improving their reading level and reading comprehension ability with two reading purposes. This finding provides empirical evidence and practical guidance for Chinese teachers in primary schools when implementing project-based learning.