In this study, we investigated the onset and release of endo-dormancy under natural conditions by observing bud break characteristics in 'Fuji' apple trees using water cuttings. Through examinations of bud break rate and days to bud break, we found that the endo-dormancy of 'Fuji' apple tree continues for 70 d from 165 to 255 d after full bloom (DAFB), from late October to early January of the following year. In addition, within 20 d of first bud break, based on a final bud break rate of 60% or more, we able to identify the timing of the changeover from para-dormancy to endo-dormancy, and endo-dormancy to eco-dormancy. Analysis of the chilling requirement during the endo-dormancy period revealed that chilling accumulation up to 255 DAFB to release endo-dormancy amounted to 666 and 517 h based on the CH and Utah models, respectively. Observation of internal changes in the bud during endo-dormancy showed that flower bud differentiation begins from mid-July, and time of inflorescence of the disk flower is available to find. The flower buds subsequently developed slowly but steadily during endo-dormancy and in the following year in February, the developmental stage of each organ had progressed. Moreover, the flower buds of 'Fuji' apples were mostly healthy during the dormancy period, but some exhibited necrosis of flower primordium, due partial cell damage from the formation of ice crystals rather than a direct effect of the low temperature. Flower buds were formed in both the axillary buds of bourse shoots and terminal buds of spurs, but lower bud differentiation was observed for the terminal buds of spurs at rate of about 65% of total buds, which was directly related to the bud size and shoot diameter.