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Epiphytic plants play an important role in the nutrient cycle of forest ecosystems. There had been fewer studies in subtropical regions than in other climate zones. Prior research showed that the canopy epiphyte could fix nitrogen combined with microorganism in tropical forest. The epiphytic plants enwrapping trees in canopy layer are very abundant in the subtropical mountainous cloud forest of Ailao Mountain (central and southern Yunnan Province, SW China). This forest lacks widespread nitrogen-fixing plants, and the nitrogen origin is elusive. Maybe there also exist such nitrogen-fixing systems in epiphyte community. Nitrogen-fixing potentials of canopy epiphytes increased greatly from dry season to wet season. There occurred an obvious difference on the epiphytic nitrogen fixation abilities between upper canopy layer and sub-canopy layer in alternant period between wet season and dry season. Epiphytic nitrogen-fixing potentials for the subtropical moist forest in Ailao Mountains ranged between 0.027 and 2.24 kg ha year. Our results indicate that the canopy epiphytes in the subtropical moist forest of Ailao Mountains can fix a significant amount of atmospheric nitrogen. This finding suggests a new nitrogen source for the subtropical forest ecosystem, thus can have profound impact on the studies of nitrogen cycling. [ABSTRACT FROM AUTHOR]