The home language environment is a significant correlate of early childhood development outcomes; however, less is known about this mechanism in rural and peri-urban China where rates of developmental delay are as high as 52%. This study examines associations between the home language environment and child development in a sample of 158 children (58% boys) aged 18–24 months (Mage = 21.5) from rural and peri-urban households in Western China. Results show a significant association between adult-child conversation count and language development, suggesting the home language environment may be a mechanism for child development in rural and peri-urban China. 22.5% of the sample were at risk of language delay. Mother’s employment and child’s age were significant factors in the home language environment.