The public celebration is aimed at helping to promote integration
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The recession has been blamed for a decision to scale down events to celebrate the Chinese New Year.
Devon and Cornwall Chinese Association (DCCA) said the move was necessary after a number of sponsors were forced to cut back on financial support.
But organisers promised a colourful display would welcome in the Year of the Ox in Plymouth city centre.
The event on the Piazza will include the traditional lion dance and displays of kung fu.
Moon cycles
The celebration is also to help the Chinese community promote integration and raise cultural awareness.
The DCCA was set up in 1975 to support the needs of the Chinese community living in the South West.
The Chinese New Year falls on 26 January in 2009, according to the Gregorian calendar, and is measured by cycles of the moon.
The Year of the Ox is officially called Ji Chou.
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