This study explores the morphological awareness of different graders with different vocabulary levels. A total of 275 elementary students (148 5th graders and 127 6th graders) across small, midium and large cities are selected to test their morphological awareness. First, they were divided into 30%, 40% and 30% of students according to their vocabulary levels. Second, they were tested on the recognition tests, the production tests and the distributional tests of English derivational morphemes divided by the prefixes and the suffixes appeared in the English textbooks. The results are: The recognition and production tests show significant differences for both vocabulary levels and different English levels across different grades. However, the distributional test shows no clear difference like the other two tests. Based on the results, the study draws the conclusion that morphological awareness is developing in the order of recognition, production and distribution of morphologized words in sentences. In other words, recognition of forms precedes the production of forms, and the production is followed by the functional awareness of morphologized words.