A new species of pleurotoid agaric, Panellus edulis Y.C. Dai, Niemela & G.F. Qin, is described from NE and SW China, Japan and the Russian Far East. It is closely related to P. serotinus (Schrad. : Fr.) Kuhner, with which it was previously confused. The new species differs from P. serotinus mainly by its larger size, ventricose cystidia, and, in particular, mild taste; the European R serotinus is bitter-tasting. Panellus edulis is one of the best-ranked edible mushrooms in NE Asia.