Shuxiang Temple is located on the southwest side of Tayuan Temple. Its name comes from the fact that it was built for worshiping Manjusri. It was built in early East Jin Dynasty, and rebuilt in Tang Dynasty. Despite the rebuilding, it has been victim to many a fire since.
There are some famous Manjusri Statues inside the temple. One is of Manjusri riding sua new ni (a son of a dragon, with a lion's appearance). With a height of 9.87 metres, it is the highest Manjusri Statue in all the Mt. Wutai temples. Another sua new ni statue measures 3.95 metres tall. This lively statue is of him in a walking position. This statue is meant to create a relaxing effect.
In the front of the temple, there is a clean spring which doesn't freeze in winter. Those who drink the water from this spring claim to feel purified and cleansed. Historically this spring has been known as "Prajna spring". "Prajna" means "improve intelligence" in the Buddhism script. It is said that the intelligence of people who always drink from this spring will be improved. Historically, the water from prajna spring was usually used for special occasions. When Kangxi Emperor came to Mountain Wutai, he stayed in Manjusri Temple and only drank water from the prajna spring. At present, many people who come to Moutain Wutai will bring a bottle of the water from prajna river back to home and send it to friends as a present.