Xue was also involved in the Battle of Wuhan, commanding the 1st Army Corps. In the mountains northwest of Wuhan, Xue succeeded in nearly destroying the entire 106th division of the imperial Japanese army. During the battle, most of the Japanese officers were killed and the Japanese had to air-drop 300 officers by parachutes into the battlefield. This was the only occasion the Imperial Japanese Army had to use airborne strategy to save a whole division from being eliminated by enemy forces during the Second World War.