Type 2 diabetes mellitus is a chronic and hard to control disease. In order to develop the therapeutic agent for type 2 DM, many researchers investigated natural products using an in vitro and in vivo assay. In this study, we tried to explore the anti-diabetic activity and mechanisms of ginsam, which is a vinegar-processed ginseng radix. The db/db mice were randomly divided into four groups. The diabetes control (DC) group was orally administrated with distilled water, ginseng radix (GR) or ginsam (GS) was administrated orally at a dose of 150 mg/kg, and the positive control group was orally injected with metformin (MET) at a dose of 300 mg/kg for 5 weeks in db/db mice and measured body weight and blood glucose level every week. All treatment groups decreased the plasma glucose levels compared with diabetic control and GS group significantly lowered the insulin resistance index. GS group also reduced the plasma lipid levels mainly due to reduce the lipogenesis and increase the lipolysis in the fat tissue. In addition, GS group increased the GLUT4 mRNA expression levels in the fat and muscle tissues by 10 fold probably due to increase a $PPAR_{-gamma}$ mRNA expression in fat tissue. Taken together, GS showed the anti-hyperglycemic and anti-hyperlipidemic activities and those activities may ascribe to over-expression of GLUT4 mRNA level and decrease the lipogenesis in fat tissue.