The festival will be held near City Hall from 10 a.m. to 4 p.m.
It includes stage performances, a street fair, food vendors, a ping pong tournament and much more.
The 2012 Chinese New Year, the Year of the Dragon kicks off on Jan. 23.
The event is sponsored by the Millbrae Sister Cities Commission, the Peninsula Chinese Business Association and the Millbrae Chamber of Commerce.