We evaluated the acute toxicity of Tetrachloroethylene (C(2)Cl(4)), and investigated its sub-chronic effects on the embryonic development of Japanese medaka (Oryzias latipes). One-day-old eggs/embryos of this fish species were exposed, under static renewal conditions, to serial concentrations (0, 20, 40, 60, and 80 mg/L) of C(2)Cl(4) for 96 h (acute) and 10 days (sub-chronic) time periods. The toxic endpoints evaluated included: egg/embryo viability, hatchability, and morphological/developmental abnormalities. The acute toxicity test resulted in a 96 h-LC(50) of 27.0 (19.5-32.9) mg/L for egg viability. Exposure of eggs to sub-chronic concentrations (0, 1.5, 3, 6, 12, and 25 mg/L) of C(2)Cl(4) significantly reduced hatchability and larval survival, in a concentration dependent manner. At the highest tested concentration (25 mg/L) of the sub-lethal exposure, larval survival was greatly reduced to within three days post-hatch. The lowest tested concentration (1.5 mg/L) produced a significant number of developmental effects to the Japanese medaka, including abnormal development of the circulatory system, yolk-sac edema, pericardial edema, scoliosis, hemorrhaging, blood pooling, and defects in heart morphology. The severity of these abnormalities was concentration-dependent. It can be concluded from these results that tetrachloroethylene is teratogenic to the Japanese medaka.