Environmental sustainability constitutes an important part of the political and educational context in China as it strives to move toward an ecological civilization. However, there is limited literature documenting the ways in which sustainability is embedded in higher education (HE) teaching. This qualitative research involves interviews and focus groups with 30 faculty in Business and Economics disciplines at three high-ranked Chinese Universities and offers an original exploration of how they include environmental sustainability in their teaching, and the opportunities and challenges they encounter. The findings are significant in suggesting that a broad range of sustainability concepts and aligned pedagogies are incorporated but that political and institutional culture, limitations on obtaining research data, constraints on curriculum design, and individual beliefs are significant barriers to implementation. Strategies employed by faculty to embed sustainability are investigated and reviewed in the context of the 'theory of the second best', previously used in UK research.