NEW MATERIAL:The thiazolidine derivative of formula I (R1 is H or lower alkyl; R2 and R3 together with adjacent C atom form alkyl-substituted cycloalkyl or bicycloalkyl which may be substituted with alkyl; n is integer of 0W3).

EXAMPLE: 5-[4-(4-Methylcyclohexylmethoxy)benzyl]thiazolidine-2,4-dione.

USE: Remedy for diabetes and antilipemic agent.

PROCESS: The compound of formula I can be prepared by reacting the compound of formula II (X is halogen; Z is OH or lower alkoxy) with thiourea, and hydrolyzing the resultant compound of formula III.