Martin Luther(1483-1546) was not merely a religious reformer, but the Chinese academic community has only regarded him as a religious reformer, which is quite a parochial understanding. Luther was also a reformer in social, cultural and especially intellectual history. Of course, he also had an immense influence on politics. There are multiple theories concerning the closing of the Middle Ages and the advent of modern times. The author holds that Luther and his Reformation in 1517 mark the actual commencement of modernity. In order to study the nature of European intellectual history, especially in modern times, this paper focuses on the position and influence of Luther and his religious Reform. In order to explore the relationship between Martin Luther and Western liberalism, after defining concepts such as freedom/liberty and liberalism and their relationship to subjectivity and modernity, I analyze Luther's status and special contributions to the three stages of Western intellectual history;his significance for the Chinese context is also examined. The study of how has Luther been accepted and rejected in Western intellectual history forms the major part of this article. In conclusion, by reflecting contemporary liberalism, the article emphasizes that Martin Luther is crucially important to the study of Western Liberalism