Abstract: Soft composites with liquid inclusions are a class of smart soft composites with functional fluid inclusions or phase-change inclusions. Owing to their excellent performances in deformability and functional designability, soft composites with liquid inclusions have been widely investigated and applied in the fields of flexible electronic devices, wearable devices and soft robots. This article reviews the latest research progress of soft composites with liquid inclusions from several aspects including the functional design and fabrication methods of soft composites with non-phase-change and phase-change liquid inclusions, the effective mechanical properties and size-dependent mechanical behaviors of soft composites with liquid inclusions, the challenges in current research of soft composites with liquid inclusions as well as the issues worthy of attention.