This is a study of endeavor in planting of multicultural values carried out by Pesantren Kauman of Lasem in a multi-ethnic community setting. The study of the importance of understanding multiculturalism in a society with religious backgrounds like Indonesia is very crucial. This study contributes to the aspect of teaching multicultural values by one of the representatives of the oldest Islamic education institution, pesantren. It focuses particularly to understand the Pesantren’s motivation and ways of implementation of planting of multicultural values as an effort to maintaining harmony with the surrounding community, which is dominated by ethnic Chinese. This research seeks to answer what are the urgency, the ways of implementation, as well as the responses in terms of educating multicultural values carried out by Pesantren Kauman of Lasem. This pesantren has its own uniqueness because it stands in the midst of a non-Muslim community. This can strengthen the opinion that religion can be social cohesion. This is a qualitative study which employed field observations, in-depth interviews, and documentation study as data collection tools. The main research site is located in Lasem, which is also known as Little China. It found out that the Pesantren grows the motivation to implement multicultural values from theological and sociological perspective. Furthermore, in terms of implementation, the pesantren utilizes the formal-pedagogical as well as nonformal-sociological aspects. This study also concludes that the implementation reaped both pro and contra responses. However, in general the Kauman Pesantren from Lasem succeeded in teaching multicultural values and using them to maintain harmony. This study shows that multicultural values can be taught formally-pedagogically or non-formally-sociologically. The theological aspect can be the point of departure, but the sociological aspects are also essential to consider in planting multicultural values which are then implemented in society. The Pesantren Kauman of Lasem has finally showed successful efforts in teaching multicultural values and using them to maintain harmony in a multicultural society. The results of this study are an evidence that multicultural values are able to be taught formally-pedagogically or non-formally-sociologically. The theological aspect can be the point of departure, but the sociological aspect is also essential to be considered in planting multicultural values which are then implemented in society.