Developmental processes result from interactions between the external environment and internal factors. Recent discoveries have demonstrated the essential roles of lipid metabolic homeostasis in adapting to environmental changes and fulfilling many cellular requirements during development. Lipids not only constitute biological membranes, but they also provide the most efficient form to store and supply energy upon demand, and they act as signals/messengers in diverse developmental pathways. Lipid metabolism also influences gene transcription by affecting the chromatin state and modulates protein function through post‐translational modification. This review mainly focuses on summarizing recent findings about the critical roles of lipids and lipid metabolism during development. How new lipid imaging or tracing techniques will further strengthen authors' understanding of the tight link between lipid metabolism and diverse developmental processes are also discussed.