Four new wood-inhabiting fungi viz. Phanerochaete castanea, P. citrinoalba, P. citrinorhizomorpha, and P. wuyiensis spp. nov. – are proposed based on a combination of morphological features and molecular evidence. Phanerochaete castanea is characterized by soft coriaceous basidiomata detachable from the substrate, becoming reddish brown in KOH, subulate cystidia with an obtuse apex. Phanerochaete citrinoalba is characterized by the coriaceous basidiomata with smooth, cracking hymenial surface, sterile margins with yellowish to whitish rhizomorphs, a monomitic hyphal system, generative hyphae mostly with simple septa and occasionally with clamp connections at basal hyphae. Phanerochaete citrinorhizomorpha is characterized by soft coriaceous basidiomata with a salmon to peach hymenial surface, a sterile margin with yellowish rhizomorphs, simple septate generative hyphae, and clavate to subfusiform or subulate cystidia with an obtuse apex. Phanerochaete wuyiensis is characterized by membranaceous basidiomata with smooth or locally tuberculate hymenial surface and the whitish rhizomorphs, generative hyphae with both simple septa and clamp connections at basal hyphae, cystidia projecting above hymenium. DNA sequences of the ITS and LSU markers of the studied samples were generated, and phylogenetic analyses were performed with Maximum Likelihood and Bayesian Inference methods. The phylogenetic tree inferred from the concatenated ITS+nLSU dataset highlighted the placement of the four new species in the genus Phanerochaete (Phanerochaetaceae, Polyporales). Phylogenetically related and morphologically similar species to these four new species are discussed. Furthermore, an identification key to accepted species of Phanerochaete in China is given.