Breast cancer is a common malignant tumor affecting women. The study of the association between breast cancer and molecular aberrations may lead to the development of novel diagnostic and therapeutic strategies for the disease. In the present study, we examined the role of ubiquitin-specific protease 4 (USP4) in breast cancer. We found that USP4 expression was significantly decreased in breast cancer tissue samples compared with paired normal breast tissue samples (P<0.001). USP4 was identified as a tumor suppressor. In addition, by inducing USP4 overexpression (using a USP4 overexpression plasmid) or the knockdown of USP4 (by transfection with a USP4 shRNA plasmid), we found that USP4 inhibited cell proliferation in vitro. We also found that USP4 suppressed tumor growth by using a mouse tumor xenograft model. Moreover, programmed cell death 4 (PCD4) was identified to be a target of USP4, which plays a role as a tumor suppressor. As a whole, our findings sugggest that USP4 acts as a tumor suppressor in breast cancer and that it may be an effective target for the treatment of breast cancer.