The effects of three cotton cultivars with low (‘ZMZ13’), medium (‘HZ401’), and high (‘M9101’) gossypol contents on the development, reproduction, and survival of Aphis gossypii Glover and its predator Propylaea japonica (Thunberg) were investigated. Developmental duration and immature survivorship did not vary between aphids on the three cultivars, whereas A. gossypii feeding on M9101 (high gossypol cultivar) displayed significantly shorter adult longevity and lower fecundity than aphids fed on ‘ZMS13’ and ‘HZ401’. Free fatty acid content in cotton aphids reared on ‘M9101’ was greater than in those reared on ‘HZ401’ and ‘ZMS13’. No significant differences in survival and lifetime fecundity of P. japonica were observed between P. japonica fed cotton aphids reared on the three different cultivars. P. japonica fed aphids from ‘M9101’ showed a significantly shorter developmental period and greater adult weight than those fed aphids from the other two cultivars. The decreased larval developmental duration and increased adult weight of P. japonica fed cotton aphids reared on the high gossypol-containing cultivar might have been caused by the high fatty acid content of the prey aphids. Our results indicate that high gossypol in host cotton had an antibiotic effect on A. gossypii and showed a positive effect on growth and development of P. japonica at the third trophic level. This suggests compatibility between one form of host plant resistance and biological control by predators. The allelochemical contents should be taken into account in integrated pest management for their effects on both herbivores and entomophagous insects.