Abstract: This invention pertains to an improved process for preparing chiral or racemic phenylalaninol (PAO) by hydrogenation of L(+)- or racemic 2-amino-1-phenyl-1,3-propanediol (APPD) in the presence of a strong volatile acid. Furthermore, a more valuable form of PAO such like N-blocked PAO was found to be directly produceable from the hydrogenation mixture without isolation of PAO, when a volatile acid was used as the medium of the hydrogenation reaction.