The story unfolds in 1920s China, focusing on two young boys, Douzi and Shitou, who are enrolled in a Peking opera school. The rigorous and often brutal training forges a profound bond between the two. Douzi, delicate and sensitive, is cast in female roles, while the more robust Shitou adopts male roles. Their friendship deepens into adulthood, where they become renowned for their performances in the opera "Farewell My Concubine." Douzi’s feelings for Shitou grow complex, blending professional admiration with an unspoken love. However, Shitou marries Juxian, a former prostitute, creating tension among the trio.

As political turmoil intensifies in China, their lives are increasingly affected by external forces. The Japanese invasion, the rise of the Communist Party, and the Cultural Revolution test their loyalty and friendship. Douzi, now Cheng Dieyi, becomes emotionally entangled and struggles to separate his stage persona from reality. Meanwhile, Shitou (now known as Duan Xiaolou) and Juxian face their own personal demons. The trio's intertwined fates reflect the larger upheavals shaking China. Amidst betrayals, sacrifices, and shifting ideologies, the enduring yet fraught relationship between Douzi and Shitou remains central, poignantly mirrored in their operatic performances.