This study conducts a systematic literature review to examine the application and research trends of the Kodály Method in early childhood music education in China from 2014 to 2024. Following inclusion criteria including practice oriented, peer reviewed, and published within the past decade, relevant Chinese studies were analyzed to explore teaching effectiveness, research focuses, and future directions. Findings indicate that the Kodály Method, with its core elements of tonic sol-fa, hand signs, and rhythm training, significantly enhances students’ rhythm perception, pitch accuracy, and musical expression while fostering interest in learning and cultural identity. However, challenges remain, including the insufficient localization of teaching content, the uneven distribution of educational resources between urban and rural areas, and the lack of long-term systematic intervention studies. Moreover, current practices often overemphasize symbolic learning, neglecting the method’s emphasis on sequential teaching and experiential activities like singing, movement, and music games, which are key to developing musical perception. This study calls for more empirical research, a stronger focus on sequential teaching design, enhanced music practice experiences, and deeper integration of localized content to support the sustainable implementation of the Kodály Method in China’s early childhood education.